Peter Schiff, the gold fanatic and bitcoin critic, says the time is ripe for people to buy gold as the US fed measures would lead to massive inflation in a few months. The Fed Reserve balance sheet was shared by Schiff on twitter and he asked his followers to go for gold as it is the best inflation hedge, not bitcoin.
He followed the criticism in another tweet too by stating it could be as bad as anything seen before -
I warned about the dire consequences of QE and ZIRP before the Fed even made the mistake of adopting the policies. But as we succeeded in kicking the can down the road for so long, most assumed I was wrong. Turns out I was. The consequences will now be even worse than I thought!
The bitcoin community as always was quick to respond to Peter Schiff and stayed that it is actually the opposite which has been proven during this period and also in future it is bitcoin that will triumph gold.
The US Fed balance sheet has gone from $212.8 billion to $ 6,394 and many believe this would cause unreal inflation in the near future. Few even believe that it might get even worse in future and so are looking for a perfect hedge against the cash printing by the Fed. The CEO of Euro Pacific Capital also lends deposit to his views and says it is a good time to buy gold as the price is set to go high very soon. Peter Schiff's tweet a lot of attention and anger from the crypto community who ridiculed him for living in fool's paradise.
Bitcoin entrepreneur Jimmy Song believes that it is not developed, but the emerging market which will suffer the most in the next 18 months due to the quantitative easing done by the Fed. He also added that bitcoin appears as the best bet in times like these.
While Peter Schiff and the bitcoin fans do not agree on anything ever, it is pretty clear that they both believe that the approach taken by the US Fed makes their asset a perfect hedge to combat future inflation. Recently, in a podcast on youtube, he was joined by bitcoin advocate to together discuss the move of the Fed.
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