Bitcoin is gold for the modern world, and fiat is a joke

Ricardo Salinas Pliego, the third-richest man in Mexico, is backing Bitcoin. He cites Bitcoin as having “extraordinary properties” and his bank is working to be the first in Mexico to accept it. He believes fiat to be fraudulent, and that as a hard currency it is a joke. 

Salinas Pliego was interviewed recently by Jose Rodriquez who has his own popular YouTube channel. The video was entitled “Bitcoin, Money and Freedom”. In it he talked about how Bitcoin was a financial asset, just as gold was, and he gave a number of advantages, such as, divisibility, ease of transfer, and the ability to store it with no counterparty risk. 

“For me, bitcoin is an asset that has extraordinary properties … All the advantages that bitcoin has, for me, make it gold for the modern world.” 

The billionaire owner of Mexico’s Banco Azteca, Salinas Pliego has a current net worth of around $15.8 billion according to Forbes. He recommends that all investors have Bitcoin in their portfolios given that it has liquidity globally. He has personally allotted 10% of his own portfolio to Bitcoin. 

Salinas Pliego is contemptuous on how governments view Bitcoin, and is also scathing of the current fiat backed monetary system. 

“Governments don’t like bitcoin … it burns them that people can get out of their fiat trap, because that is what fiat money is, a fraud … The fraud fiat is inherent to the fiat system and we can see it today in the U.S. … the dollar as hard currency is a joke.” 

He further elaborated on how fiat was destroying the wealth of people by losing its value over time. He cited the case of the Mexican peso, stating that when he started his professional career back in 1981, there were 20 pesos to the dollar.  

“Today, on the other hand, we are at 20,000 [pesos] for $1 … that is here, in Mexico, but if we do it in Venezuela, Argentina or Zimbabwe, the figures lose all proportion,” 

He did acknowledge that governments could ban the use of Bitcoin, but that it would continue to be used. He added that he personally would not carry “any stinking fiat money, not a peso, not a fiat paper” on his journey through time. He also noted that gold would also be difficult to hold, given the issues with custody. 

Instead, he said that he would choose Bitcoin in political, social or financially turbulent times. He remarked that it would be easier to run away with Bitcoins than with gold bars. 

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.