- Recent moves by the Fed against inflation are believed to have been misguided.
- Lawrence Lepard believes that Bitcoin will become the main form of money in the world.
- Lepard says, “ This is a Michael Burry moment. I think that in the next 18 months, we are going to see the United States experience a full-fledged currency crisis.”
The founder of the renowned investment company Equity Management Associates, Lawrence Lepard, has expressed his opinion regarding the recent movements of the Fed to battle rising inflation, and the maintenance of fiduciary currency.
“The Fed did it wrong” were Lepard’s words in the face of excessive money printing, while at the same time suggesting that the Fed has panicked and is making matters worse in its attempts to rectify. These words were said in an interview with Natalie Brunell on October 11.
However, the investor noted that Bitcoin is expected to rise and become the main form of money in the absence of fiat money. According to him, the rise of Bitcoin is comparable to skepticism around the Internet and will eventually spread.
“The Fed is losing its mind. I mean, we’re in the end game of fiat money right now, they completely screwed it up in transient inflation. They printed too much money, inflation is red hot, and they’re scared. <…> It is obvious to me that Bitcoin is going to become a dominant form of money.”
Lepard said in an interview
Lepard also warned that current Federal Reserve policies have caused “a Michael Burry moment” for the US economy. Burry, a prominent player in the financial world, is known for having foreseen the financial catastrophe of 2008.
“This is a Michael Burry moment. I think that in the next 18 months, we’re going to see the United States experience a full-fledged currency crisis, and when it does, the Fed is going to have to step in again. <…> Powell will resign or be fired.”
Lepard said
Lepard went on to say that Bitcoin is poised to grow in the future and displace gold as the main store of value. Both gold and Bitcoin, according to the investor, would perform better, but the metal would end up being displaced by the cryptocurrency.
For the investor, Bitcoin has positioned itself as a store of wealth and a hedge against inflation. However, the cryptocurrency market has not had a good 2022, which has led to Bitcoin failing to meet expectations.
