Bitcoin's Remarkable 17,400% Surge Over A Decade Raises Questions About The US Dollar
According to U.Today, Gabor Gurbacs, a strategic advisor at Tether and VanEck, has highlighted a significant concern about the U.S. dollar due to Bitcoin's substantial growth over the past decade. Gurbacs used the social media platform Twitter to point out that since 2014, Bitcoin, the world's first cryptocurrency, has shown an impressive 17,400% growth, rising from $400 to the current $70,000 level. He argues that the question is not so much about what has happened to Bitcoin over this decade, but rather what has happened to the U.S. dollar, given Bitcoin's significant value increase.
Satoshi Nakamoto created Bitcoin following the 2009 mortgage market crisis to prevent a similar or more severe financial shake-up in the future. During that time, the Federal Reserve began printing money, known as quantitative easing, to bail out large banks and corporations. This practice was repeated during the banking crisis in Cyprus and again in 2020 when the pandemic began, leading to worldwide lockdowns. In 2020 alone, over $6 trillion were printed and injected into the U.S. economy, contributing to the ongoing devaluation of the U.S. dollar, as many experts have noted.
The global crypto community recently celebrated Bitcoin Pizza Day. On this day in 2010, Florida-based software developer Laszlo Hanyecz made the first purchase of a physical object with Bitcoin, offering 10,000 BTC for two large pizzas. At the time, 10,000 Bitcoins were worth approximately $41. Today, this amount of cryptocurrency would be worth several hundred million U.S. dollars. Every year on this day, Bitcoin enthusiasts gather, purchase pizza with fiat or Bitcoin, and discuss cryptocurrency.
