Bitcoin no More a fringe asset due to US dollar debasement, says Soros Fund exec

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Soros Fund Management’s CIO said that Bitcoin is no longer out on the fringes, thanks to this debasement of the U.S. dollar over the last year.

Speaking to Bloomberg, Fitzpatrick said her company — an asset management fund created by international investor George Soros — had recently started to have an interest in Bitcoin.

“We think the whole infrastructure around crypto is really intriguing, and we’ve been making some investments into that infrastructure — and we think that is at an inflection point,” said Fitzpatrick.

This inflection point is coming as a result of fiat inflation, and this has witnessed the U.S. dollar cash supply increase by 25% in the past year alone. Fitzpatrick said:

“I think when it comes to crypto generally, we’re in a really important moment in time, in that, something such as Bitcoin could have stayed a fringe asset, but for the simple fact that, over the last 12 months, we’ve increased money supply in the U.S. by 25%”
The first was part of a $200 million financing round held by NYDIG, although the second was an investment in crypto accounting firm, Lukka, which increased $53 million on March 25.

The fund’s faith in Bitcoin and its associated technologies Seems to be evenly matched with its distaste for more fiat inflation, of which Fitzpatrick says there is a real fear:

“So there’s a real fear of debasing fiat monies. And when you think about Bitcoin, I don’t think of it as a money, I think of it as a commodity. Nonetheless, it’s a commodity that is easily storable, easily transferable.”
Fitzpatrick temporarily mentioned central bank electronic currencies, particularly in relation to China, which she states is moving to become the first Agency in CBDC technology. But even if China is the first to establish a centrally issued digital currency, Fitzpatrick doesn’t believe its impact on Bitcoin would be too destabilizing in the long run.

“They want that to be used around the planet, and it’s a possible threat to Bitcoin and other cryptocurrencies,” said Fitzpatrick, adding,”I think it’s a true threat, but I believe it’ll be temporary. I don’t think it will be prosperous in forever destabilizing Bitcoin.”

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