Former Coinbase CTO, Balaji Srinivasan, has staked $2 million on Bitcoin reaching $1 million in the next 90 days. His bet comes in response to investor James Medlock’s $1 million bet that the US won’t experience hyperinflation despite its near-collapse. Balaji Srinivasan believes that the current state of US banks is identical to the 2008 financial crisis, with the exception that this time, central banks and regulators have duped all holders and sent USD.
He predicts that the US dollar will weaken due to the impending crisis, and in the following weeks, individuals, businesses, and significant funds would buy Bitcoin to protect themselves against hyperinflation, pushing the price of the cryptocurrency to $1 million USD. Balaji Srinivasan’s bet is based on the assumption that Bitcoin is a safe haven asset that will appreciate in value during times of economic turmoil.
According to the terms of the staking agreement between Balaji Srinivasan and James Medlock, Medlock will receive 1 million USDC and 1 BTC if Bitcoin does not reach $1 million in the following 90 days. Balaji will have an additional 1 BTC and 1 million USDC if Bitcoin achieves $1 million in the ensuing 90 days.
Despite market turbulence, Bitcoin is still valued around $27,000. Rich Dad Poor Dad author Robert Kiyosaki has previously made outlandish predictions about the end of the dollar and the coming collapse of the US economy due to rising inflation and interest rates, which might cause a global recession. However, in contrast to Balaji Srinivasan, Robert Kiyosaki just projected Bitcoin’s future development without offering any specific projections.
As of now, the price of one bitcoin is $26,960, up about 30% over the last seven days. While it’s difficult to predict the future of cryptocurrency, Balaji Srinivasan’s bet shows a strong belief in the long-term viability and value of Bitcoin, especially during times of economic uncertainty. Only time will tell if his predictions come true.
