Crypto specialist Anthony Pompliano recently predicted that central banks will be purchasing Bitcoin (BTC) in a bid to hedge the risks to the US dollar.
Pompliano, a co-founder of Morgan Creek Digital Assets, recently noted on Twitter how central banks around the world have acquired large amounts of gold.
Report of Financial Times
The Financial Times (FT) reported this week how international central banks bought a record-breaking $15.7 billion gold in the first half of the year. The purchase was made to expand their reserves from the America dollar, especially now that there’s tension in global trade.
The report also pointed out that central banks are estimated to be responsible for about one-sixth of the total demand for gold during this period.
Pompliano also posited that the World Gold Council will expect the geopolitical tensions to place pressure on central banks to bulk up their reserves of gold, these establishments will also use Bitcoin as unconventional storage of value.
Pompliano and Peter Schiff Debate
The FT report comes on the heels of a debate between Pompliano and known gold backer Peter Schiff. In a recent appearance on CNBC Africa, Schiff mentioned that some investors look to Bitcoin to get rich while remaining blind to what’s going on in real-time. Schiff has publicly disparaged BTC for having no inherent value.
However, not everyone agrees with Schiff’s view. Steve Forbes, the editor-in-chief of Forbes, had some choice advised Facebook’s Mark Zuckerberg to support the Libra cryptocurrency with gold.
Forbes said the social media platform’s stablecoin endeavor will end up as one of the “truly seminal creations” of history, but only if it is backed by the precious yellow metal.