Economist who predicted 2008 crash reveals next Bitcoin target

Economist who predicted 2008 crash reveals next Bitcoin target

EuroPac.com Chief Economist and Global Strategist Peter Schiff made headlines twice in the same week. First by conceding during a nationally televised debate that Bitcoin is not going to zero, then by arguing that MicroStrategy's entire Bitcoin acquisition strategy is now mathematically broken.

Taken together, both developments paint an increasingly complicated picture of crypto's most reliable bear.

During a Fox Business debate with Anthony Pompliano, Schiff was pressed to make a bet on whether Bitcoin would still exist a decade from now. His answer stopped the crypto community cold.

The admission, however reluctant, marks a notable shift in language from a critic who built much of his public profile on predicting the cryptocurrency's collapse.

Separately, Schiff turned his attention to MicroStrategy, arguing that the company's once-celebrated Bitcoin acquisition model has become structurally unworkable.

The strategy relied on MicroStrategy stock trading at a significant premium to its Bitcoin Net Asset Value. Saylor would issue new shares or convertible debt at that inflated premium, use the proceeds to buy more Bitcoin, and each new share issued would increase the amount of Bitcoin held per share.

Schiff argues it has now stopped. When shares trade at a discount rather than a premium, issuing new stock to buy Bitcoin has the opposite effect, diluting existing shareholders rather than rewarding them.

MicroStrategy's recent purchase of 1,550 BTC for $101 million, celebrated across the Bitcoin community, required issuing shares at a discounted price, meaning more shares were issued proportionally than Bitcoin acquired.

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