The world is facing “strong inflationary pressures” in the short term, which could last for a long time, warns the richest man in the world.
In one to discuss When it comes to inflation, some of the biggest names in Bitcoin have voiced their unanimous doubts about the state of global monetary policy.
Musk said: The future of inflation is still a big unknown
Even if the US Federal Reserve recognizes that inflation could continue, the topic has become particularly relevant for Bitcoiners due to the deflationary nature of cryptocurrencies.
For Musk, who stays cool when he sees Bitcoin as the “magic pill” against fiat money, inflation is no mean feat. With net worth more than $ 250 billion this week, the possibility of currency devaluation is a more potential problem than ever.
“In the long term I don’t know, but in the short term we are seeing strong inflationary pressures,” he said during a Twitter debate with Ark Invest CEO Cathie Wood and MicroStrategy CEO Michael Saylor.
Everyone commented on one previous tweets by Twitter CEO Jack Dorsey, who described inflation as “happening” and prone to “changing things.”
Wood, who is also a staunch BTC supporter, noted that the currency’s pace, in contrast, has slowed since the 2008 global financial crisis, obscuring some of the effects of the devaluation.
Regardless, when all product categories are considered, the cost of printing dollars actually exceeds government claims of how unjustified inflation really is.
Says Saylor, “Inflation is a vector and manifests itself in a wide range of products, services and assets that are not currently measured by CPI or PCE.
“Bitcoin is the most practical solution for consumers, investors or companies looking for long-term inflation protection.”
Bitcoin could return to Tesla
Musk’s Tesla broke the $ 1,000 / share mark for the first time this week, significantly increasing its net worth.
Related: Tesla hints it could resume crypto payments soon
Meanwhile, in a filing with the US Securities and Exchange Commission, the company remains open to accepting Bitcoin for its products in the future.
“In the nine months ended September 30, 2021, we purchased a total of $ 1.50 billion in Bitcoin. In addition, we have accepted Bitcoin as payment for the sale of some of our products in certain regions, subject to applicable laws, for the three months ended March 31, 2021, and suspended that activity in May 2021, “the 10-Q document states.
“In the future, we may resume trading in cryptocurrencies (” digital assets “) for our products and services.”