Author: Tommy Limpitlaw
Bitcoin permabull Anthony Pompliano claims it would be mathematically more risky to hold the US dollar than it would Bitcoin over a 200-year timeframe.
In an interview on his podcast Off The Chain, while speaking with Chris Gure, a legacy investment consultant, Pompliano, colloquially known as Pomp, also said the separation of state and money was a foregone conclusion.
Pompliano is one of the best known faces in the crypto-space. His bullish stance on Bitcoin is known throughout the space – and more and more in the legacy world, but is his bullish view hype, or does he have a valid point?
The average lifespan of the average fiat currency is a mere 27 years
Back in 1971, then President, Richard Nixon, severed all links of the USD to gold (a temporary solution, we were told), which introduced the promise-backed dollar, as we know it today. That makes the US dollar 48 years old.
So, it goes without saying that the impaired USD has already outstayed its welcome and has zero chance of lasting for another 200 years.
All fiat currencies go through cycles until they die. Many experts were predicting the death of the dollar within a few years of coming off the gold standard. So the 48 years is quite astonishing. Especially when you consider how America was the richest country in history in the 1980s, but is now the most indebted country in history.
The government’s obsession with printing as much as it can, to remain as popular as it can in its 4-8 year tenure, will only bring hyperinflation and ruination of the dollar down the line. As this happens, Bitcoin will be there soaking up the wealth as more people begin to trust and understand it.
But this isn’t just Trump or even the few that went before him. Throughout history, due to all governments’ greed, every single fiat currency crashed and burned to zero. It's just that never before have people had another option.
But what makes Pomp so sure that Bitcoin will be around in 200 years?
The Bitcoin protocol is an open-source, decentralized, independent of any central authority, peer-to-peer, immutable, and cryptographically secure platform of trust. It is the most secure network ever created, and its currency bitcoin is central to all transactions on it.
Unlike fiat currencies, Bitcoin cannot be printed at will and that alone makes it a surer bet to be around even in 50 years. Not only is it unprintable, but it's also virtually unhackable.
Of course all software programs have vulnerabilities, but the decentralized nature of Bitcoin makes it incredibly difficult to infiltrate. And you can be sure that every single day, since it came into the public's awareness, hackers (state-owned and all) have been and will continue to try and hack Bitcoin.
They've never been successful in their attempts, however. And as the network of nodes and miners grow, and the open-source devs continue to work on it, the security of the network will only strengthen.
As time goes by and decentralization becomes universal, and the digital millennials become the most influential generation, and the trust in our governments and banks completely evaporates, it goes without question that society will turn to a currency that isn't state-backed.
That currency will be one that is central to the biggest society in the world: The Internet. There are about 4.8 billion people who use the Internet. So, a native currency that's programmable and doesn't need costly and mistake ridden humans to verify it makes complete sense.
All this validates Pomp's claim and he goes further, saying it’s actually more risky not own Bitcoin. And with the cotton-mouthed banks and governments only too eager to suppress their thirst for their mimicked bills, I have no doubt Bitcoin will outlast the US dollar.
Will Bitcoin be around in 200 years? I have no idea, but the cat is out of the bag now. Decentralization is here to stay, and whether it’s Bitcoin or not, I'm satisfied that a decentralized cryptocurrency is the way forward, and the US dollar and all other fiat currencies will become a thing of the past.