Key Takeaways:
- Elon Musk, who has been named Time Magazine’s Person of the Year, comments on Bitcoin
- The Tesla CEO says BTC is a store of value and cryptocurrencies hold advantages relative to fiat
Musk, Time’s Person of 2021, Says BTC is a Store of Value
Elon Musk, the high-profile but notoriously down-to-earth billionaire, was named Time Magazine’s Person of the Year for 2021. In his interview with the magazine, Mr. Musk shared fresh comments on Bitcoin and cryptocurrencies.
“Bitcoin is a store of value,” the Tesla CEO said, as he explained where he’s coming from. “I could wax on about the nature of money for hours because I played a significant role in creating PayPal. There are very few people that understand [the money system] better than me.”
Further, the chief executive, worth $270 billion, emphasized on the qualities of cryptos that are missing in traditional currencies.
“There are advantages with crypto relative to fiat in that fiat currency tends to get diluted by whatever government it is.” In other words, Mr. Musk described what the US Federal Reserve is doing now, which is essentially money-printing. More recently, however, the central bank has been taking steps to unwind its extraordinary monetary stimulus.
“It ends up being a pernicious tax on people, especially those who have cash savings with dilution of the money supply.”
Musk’s Role in Crypto has Been Significant in 2021
Elon Musk has been a key figure in bitcoin’s development this year. More precisely, he gained wider recognition as a crypto influencer after Tesla splashed out $1.5 billion in bitcoin this February. Since then, the Technoking of Tesla, as he’d officially called himself, has often impacted bitcoin with just a few lines on Twitter.
In addition, the electric carmaker said in March it accepted bitcoin as payment for vehicles. Later, however, this was rolled back by the company, noting the carbon footprint of bitcoin’s mining. Recently, Elon Musk made another U-turn as he said Tesla will start accepting bitcoin again once mining becomes more eco-friendly.
In conclusion, Mr. Musk has been an important proponent of bitcoin and cryptocurrencies this year. Looking ahead, he is likely to remain involved in the future of digital assets, with bitcoin leading the pack.