Peter Schiff Dismisses Bitcoin as Global Reserve Asset, Backs Gold’s Monetary Role

Economist and long-time gold advocate Peter Schiff has once again rejected the idea that Bitcoin could evolve into a global reserve asset, arguing that the cryptocurrency lacks the intrinsic value required of true money. According to Schiff, Bitcoin’s appeal remains rooted in speculation rather than real economic utility, making it unsuitable as a store of value for central banks or governments.

Schiff’s comments come amid renewed global debate over alternatives to the U.S. dollar as inflation pressures and rising government debt continue to unsettle markets. Despite growing political support and regulatory discussions around crypto in the United States, Schiff believes Bitcoin still faces fundamental monetary limitations. In an interview with Tucker Carlson, he stated that a global reserve asset must reliably store value, remain liquid during crises, and be largely immune to speculative demand. In his view, Bitcoin fails on all three counts.

The economist argued that Bitcoin does not generate income, cannot be consumed, and lacks industrial use, making its value dependent primarily on expectations of higher future prices. Schiff emphasized that true reserve assets must retain value beyond resale to other buyers. He contrasted this with gold, which he said has proven scarcity, durability, and industrial applications that have supported its role as money for centuries.

Schiff also pointed to central bank behavior as evidence against Bitcoin’s reserve currency potential. While crypto adoption is growing, central banks continue to hold gold rather than Bitcoin. He argued that gold’s value is not driven by technology cycles or investor sentiment, and that its independence from infrastructure such as electricity and networks makes it more reliable in times of crisis.

His remarks coincided with gold reaching a new all-time high above $5,000, as investors increasingly turn to the metal as a hedge against currency debasement. In contrast, Bitcoin recently declined to around $86,000, wiping out its year-to-date gains. Schiff further criticized government exposure to crypto through ETFs, stating that such investments do not represent monetary endorsement.

While figures like Binance founder Changpeng Zhao and BitMEX co-founder Arthur Hayes argue that Bitcoin could represent the future of money, Schiff remains unconvinced. He also criticized the crypto industry’s push for regulation, claiming it seeks validation rather than addressing Bitcoin’s lack of intrinsic value. According to Schiff, gold retains trust, stability, and monetary credibility that Bitcoin has yet to achieve.