Peter Schiff

So the people who just hodl, right?

They're ultimately going to lose everything because they're hodling nothing.

The only way you're going to make money in Bitcoin is to sell.

But...

You only make money because somebody else bought.

And so the profits that are ultimately made in Bitcoin just represents the money that other people lost in Bitcoin.

There's no net wealth.

When miners create Bitcoin or they solve a mathematical problem to produce a Bitcoin,

They haven't increased the wealth of the world.

They haven't added anything of real value.

These aren't factories that are producing goods, right?

They make my life better.

They're just solving meaningless math problems and they're just creating these tokens, right?

So the world is not richer because we have all this Bitcoin.

But what Bitcoin does is enables a transfer of wealth.

The people who sell Bitcoin make money.

The people who buy Bitcoin lose money.

Now, if the people who buy Bitcoin can then turn around and sell Bitcoin at a higher price, then they will make money.

But just because the person who paid the higher price, now he loses the money.

I agree that there are investors who buy Bitcoin for the same reason that I buy gold.