Veteran investor Jim Rogers, who co-founded the Quantum Fund with billionaire investor George Soros, is still concerned about governments banning bitcoin and other cryptocurrencies. “If cryptocurrencies become successful, most governments will ban them because they don’t want to lose their monopoly,” he said.
Jim Rogers is still concerned about the government’s ban on Bitcoin
Renowned investor and former business partner of George Soros who co-founded the Quantum Fund and Soros Fund Management, Jim Rogers, still believes the government can ban bitcoin and other cryptocurrencies.
Note that he “has never bought or sold cryptocurrencies,” Rogers told Kitco News’ Michelle Makori last week:
If cryptocurrencies become successful, most governments will ban them because they don’t want to lose their monopoly.
“Every government in the world is now working on computer money, including the US. The Chinese are already here. I can’t imagine governments saying ‘okay, this is our cryptocurrency, or you can use their cryptocurrency.’ Historically, that’s not the way governments work, ”he said.
Rogers added, “The money goes to the computer. It’s already in China. You cannot take a taxi with money in China. You have to have the money on your phone, you can’t even buy ice. So it happens, but I doubt the money will be anyone else’s. History shows that it will be government money. “
He believes the biggest threat to bitcoin is government regulation “if it becomes successful,” but not “as long as it remains a commercial vehicle.”
The Quantum Fund co-founder further commented:
I know guys who make a lot of money trading it, apparently it’s a beautiful trading vehicle. But if it becomes a currency, which is what the crypto people say it will be, I can’t imagine a government, or many governments, in the world, will say, ‘Okay, you can use our money or their money.’ That’s not what history shows.
Responding to Federal Reserve Chairman Jerome Powell comparing bitcoin to gold in terms of how they are both used for speculation, Rogers agreed that people are using both as trading vehicles. However, he added that history would indicate that silver and gold would likely have a brighter future than cryptocurrencies, as they are not trying to compete with the dollar or other sovereign currencies.
Rogers isn’t alone in warning that governments are stepping in and banning cryptocurrencies. Others include Ray Dalio, the founder of Bridgewater Associates, Michael Burry of The Big Short, and Ron Paul.
However, many people also said that governments cannot ban bitcoin. A commissioner of the US Securities and Exchange Commission (SEC), Hester Peirce, recently said that governments would be “foolish” to ban bitcoin and that banning it would be the same as shutting down the internet. In addition, she said that “it is very difficult to ban something that is essentially peer-to-peer technology.”
Do you think Jim Rogers’ fears about the government’s ban on bitcoin are unfounded? Let us know in the comments below.
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