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Peter Schiff Claims Facebook’s Cryptocurrency Threatens Bitcoin, Anthony Pompliano Explains Why It’s False
Long-time gold proponent Peter Schiff has recently taken to Twitter to weigh in on the upcoming rollout of Facebook’s new crypto. Schiff claims that it is bad news for Bitcoin, but this didn’t sit well with Morgan Creek’s Anthony Pompliano.
Alex DovbnyaThe more, the merrier
Schiff explains that Facebook’s much-hyped venture poses a direct threat to Bitcoin since it will focus on economically developing nations with a high percentage of the unbanked population. According to him, Libra (the alleged name of the highly anticipated stablecoin) will push Bitcoin out of this market. It will be more stable, easy to use, and cheap (compared to the number one cryptocurrency).
However, Pompliano suggests that the coins will be able to coexist, comparing them to restaurants on an intersection.
False. In fact, the exact opposite is true.
Like restaurants on an intersection, the more available, the better for each of them.— Pomp ? (@APompliano) June 14, 2019
While the Bitcoin crowd adopted a rather hawkish attitude to the Libra coin due to centralization concerns, Pompliano (along with another crypto bull, Mike Novogratz) thinks that it is a positive development for the crypto industry. Back in December, Pompliano predicted that it would quickly become ‘the most used product in crypto.’
Yuri MolchanThe real threat
Another user points out that Facebook’s cryptocurrency won’t replace Bitcoin given that the latter functions more like a store of value. Hence, the crypto king impinges upon Schiff’s ‘beloved gold.’
Bitcoin isn’t a medium of exchange. It is a store of value. Maybe it will be bad news for $ltc. You hate $btc because it is going take place of your beloved gold.
— Rodney Raanan, CMT (@Rodney_Raanan) June 14, 2019
As reported by U.Today, cryptocurrency asset manager Grayscale recently launched an anti-gold campaign that encourages investors to drop the old-fashioned asset in favor of Bitcoin.
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