In a caustic tweet, Euro Pacific Capital CEO Peter Schiff suggests that Bitcoin’s institutional adoption is now in peril after Goldman Sachs, one of America’s biggest investment banks, turned its back on Bitcoin.
The gold bug cautions the cryptocurrency community that Goldman’s view is ‘very important,’ which is why they shouldn’t simply brush it off.
Goldman snubs Bitcoin
As reported by U.Today, the bank poured cold water on Bitcoin during its crypto-related client call by refusing to acknowledge it as a separate asset class and pointing to its illicit use cases.
Considering that Goldman Sachs was even rumored to launch a cryptocurrency trading desk in 2018, the leaked content of its presentation was seen as an outright betrayal.
This only amplified the strong anti-establishment sentiment within the cryptocurrency industry, with many of its prominent members taking to task over its dismissiveness.
Galaxy Digital CEO Mike Novogratz opined that Goldman Sachs was missing the bigger picture during a recent CNBC interview.
Investors don’t take Goldman’s advice
Schiff conveniently ignored the fact that Goldman also snubbed gold in its presentation. The bank noted that the yellow metal was underperforming equities during high inflation periods.
When crypto Twitter kindly reminded Schiff that Goldman was not a gold bug, he replied that they didn’t see inflation as a threat. Otherwise, they would recommend buying gold. However, he is convinced that they would never recommend buying BTC.
Investors, however, don’t seem to be concerned about the rebuff. As noted by Tyler Winklevoss, the BTC price after Goldman advised its investors against buying Bitcoin.
After all, this is the same bank that courted WeWork, a now-struggling commercial real estate company, with high-sky valuations before the imposition of its IPO.