+ 1.73
+ 0.5%
+ 5.77
+ 1.73%
+ 5.82
+ 1.4%
+ 2.00
+ 1.21%

Stanley Druckenmiller Says The Fed Is Endangering The Dollar, Presenting An Opportunity For Cryptocurrency

May 11, 2021 12:07 pm
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More
Stanley Druckenmiller Says The Fed Is Endangering The Dollar, Presenting An Opportunity For Cryptocurrency

Bitcoin (CRYPTO: BTC) will likely hold its place as the leading store of value in the cryptocurrency space, but Ethereum (CRYPTO: ETH) will face brutal competition, billionaire investor Stanley Druckenmiller said Tuesday on CNBC's "Squawk Box."

Current Federal Reserve policies are endangering the status of the U.S. dollar, Druckenmiller said, adding that it will lose its reserve currency status within 15 years. 

The dollar is "the cleanest dirty shirt in the room," he said.

Five or six years ago, Druckenmiller thought cryptocurrency was a solution in search of a problem, he told CNBC. "The problem has been clearly identified," he said, adding that the problem is central bankers.

The most likely replacement is a ledger system that has not yet been invented, Druckenmiller said. 

It will be very difficult to unseat Bitcoin as a store of value because it has been around for 14 years, and although Ethereum has the lead in terms of smart contracts, it is not likely to be the "ultimate winner," Druckenmiller told CNBC.

Related Link: What's Driving The Ethereum Rally?

Price Action: Bitcoin is up 91.73% year-to-date. At last check Tuesday, it was up 0.35% at $56,000.60.

Ethereum is up 434.59% year-to-date. It was up 1.82% at $4,021.20 at last check Tuesday.

(Image by WorldSpectrum from Pixabay)

For the latest in financial news, exclusive stories, memes follow Benzinga on Twitter, Facebook & Instagram. For the best interviews, stock market talk & videos, subscribe to our YouTube channel.

Related Articles

A Technical Look At Bitcoin As Crypto Sells Off

Benzinga's PreMarket Prep airs every morning from 8-9 a.m. ET. During that fast-paced, highly informative hour, traders and investors tune in to get the major news of the day, the catalysts behind those moves and the corresponding price action for the upcoming session. read more

Chinese Cryptocurrency Firm Sets Up Mining Operations In Kazakhstan

China’s BIT Mining Ltd - ADR (NYSE: BTCM) announced the delivery of the first batch of its cryptocurrency mining machines to Kazakhstan. read more

MicroStrategy Stock Falls After Bitcoin Purchase: A Technical Analysis

MicroStrategy Inc. (NASDAQ: MSTR) shares fell Monday after the company announced it made a Bitcoin (CRYPTO: BTC) purchase. The company purchased 13,005 BTC priced at $37,617 each for a total of around $489 million. This brings the total company stake to 105,000 BTC. read more

eToro Just Added 3 New Cryptos!

What did eToro just add to their crypto marketplace? Algorand (ALGO), Polygon (MATIC) and Basic Attention Token (BAT).  read more