Elon Musk’s Tesla bought into Bitcoin with a $1.5 billion USD investment. While Musk hasn’t confirmed that he himself has any recent Bitcoin investment personally, he does seem to have turned the table on cryptocurrency advocacy, going toe to toe with famous Bitcoin critic and gold bull Peter Schiff.
Schiff posted a tweet quoting Musk and criticizing his views on money, saying both fiat and digital currencies are nonsense:
According to @elonmusk “Bitcoin is almost as BS as fiat money.” So Musk regards both #Bitcoin and fiat as BS. I agree, I just think Bitcoin, which is digital fiat, is even more BS than the paper fiat issued by central banks. #Gold is not BS. It’s real money and better than both!
— Peter Schiff (@PeterSchiff) February 19, 2021
Schiff continued to say that Musk should be able to identify the key differences between tangible features and “a string of numbers” implying that gold has more functional use as a currency than digital currencies. He also offered:
“Money isn’t data. Data can represent money but can’t replace it. Money improved barter, gold improved money, and data improved #gold. Bitcoin is a return to barter.”
“Money is data to avoid the inconvenience of barter”
To this, Musk responded:
An email saying you have gold is not the same as having gold. You might as well have crypto.
Money is just data that allows us to avoid the inconvenience of barter.
That data, like all data, is subject to latency & error. The system will evolve to that which minimizes both.
— Elon Musk (@elonmusk) February 20, 2021
Musk, however, did add an extra tweet saying:
“That said, BTC & ETH do seem high lol”
As pointed out by Binance CEO Chaopeng CZ Zhao, Musk made the same comments about Tesla stocks when they shot up: “Lol, you said this about TESLA stock, before it went through the roof.”