High Profile Investor Urges the Use of Crypto to Mitigate Market Crash
Internet entrepreneur and founder of Megaupload, Kim Dotcom, also an acclaimed crypto investor, says that the United States economy is set to eventually crash in the near future.
Most economists predict that US markets will fall apart and they include luminaries such as Nouriel Roubini and Peter Schiff. Dotcom emphasized that cryptocurrencies will interest many investors as a strong, stable stored value same as precious metals like gold.
He further stated that the United States Empire is currently paying half a trillion US dollars in interest per year for its debt servicing. And US debt keeps increasing every year by a trillion dollars or more. He referred to this as a death spiral which cannot be avoided. The collapse of the United States Dollar is imminent, according to Dotcom, who urges the purchase of gold and crypto as well.
Advantages of Using Crypto
The United States economy, being the biggest and most powerful in the world, has a huge effect on both Europe and Asia. When the stock market in the US endured a sustained sell-off and effectively eliminated all the profits made in 2018, it was reported that the Asian market had also become quite vulnerable to a likely crash.
If the United States economy does experience a huge crash by the year 2020 like many economists and financial organizations such as JPMorgan expect, it will have a severe effect on real estate, equities, and also the financial markets throughout Asia.
Furthermore, the issue with the country’s debt, which was pointed out by Kim Dotcom, and whose sentiments are shared among economists and government organizations such as the IMF, which has stressed recently that the United States has to start acknowledging how serious the issue of its federal debt really is.
The senior manager at a division within a division about market policies within the Institute of International Finance, Sonja Gibbs, said that it is so much more challenging for the United States to grow and expand its economy with its considerable debt amounts.
Crypto Growing Exceptionally Fast
During the next ten years, as the use of cryptocurrencies increases and reaches a point when all businesses, merchants, and retailers trade in cryptos as an acceptable payment method. Users will have financial freedom like at no other point in history, which will increase the value of cryptocurrencies.
Dotcom explained how cryptocurrencies are indeed taking the place of fiat currencies extremely fast. Currently, it is in its early stages but we can expect to pay for any retail goods and services with ease using cryptocurrencies in the future.