Peter Schiff, a prominent gold advocate and long-time critic of Bitcoin, used his appearance on Tucker Carlson's interview program to launch another attack on the cryptocurrency. Schiff argued that the crypto industry's demand for regulatory 'clarity' is not about self-restraint but about securing government endorsement. According to Schiff, once regulators approve Bitcoin, supporters can claim official validation, drawing more retail investors into the market under the false belief that the asset has state-level approval.
"The government now endorses it. The government is supporting it," Schiff said. He went further to allege that early Bitcoin holders who profited from later capital inflows used their gains to influence politicians, including President Donald Trump, to publicly support the asset. Schiff did not present evidence for these claims, framing them as his interpretation of political incentives surrounding crypto policy.
He characterized proposals for a U.S. Bitcoin strategic reserve as a potential "Bitcoin bailout fund" that would use taxpayer money to prop up the market. In response, Tucker Carlson argued that the declining purchasing power of the U.S. dollar and its use as a geopolitical tool suggest the need for a new global reserve asset. He asked why Bitcoin or stablecoins like Tether could not fill that role.
Schiff reiterated his long-held distinction between money and currency, arguing that gold is money while fiat currencies and Bitcoin are substitutes that depend on confidence rather than intrinsic value. He asserted that Bitcoin's value rests on speculation that it can be sold later for more dollars, rather than on its usefulness as a stable store of value. "Most people who are buying Bitcoin are buying it to get more dollars," Schiff said. "If they wanted a safe store of value, they'd buy gold."
Schiff: Bitcoin is a fad
Schiff argued that Bitcoin is unsuitable as a reserve asset for central banks due to its volatility, claiming it would be impossible to hold at scale without destabilizing markets. He noted that while some sovereign wealth funds and governments have gained limited exposure to Bitcoin-related assets, such allocations are small and driven by performance pressure rather than conviction. He predicted institutional interest would fade and warned that recent buyers could face losses. Schiff highlighted that Bitcoin remains well below its peak when measured in gold terms, claiming it has declined roughly 40% relative to gold over the past four years.
Schiff also rejected comparisons between Bitcoin and gold, arguing that Bitcoin is a speculative asset rather than a form of sound money. He likened Bitcoin and crypto to past manias like tulips and Beanie Babies, saying it lacks intrinsic value and would fall alongside stocks in a major financial crisis.