Here’s Why Senator Ted Cruz Likes and Owns Bitcoin
The US politician who serves as the junior US senator for Texas – Ted Cruz – believes bitcoin can be a lifeboat amid the inflationary environment allegedly created by Washington’s irrational decisions.
He revealed that he holds a little more than 2 BTC and has a standing order to buy more of the primary cryptocurrency every Monday morning, regardless of the price.
BTC: A hedge against inflation and so much more
In a recent look at the Bitcoin Policy Summit, Cruz explained why he is such an ardent supporter of the asset and why a potential launch of a central bank digital currency would not benefit Americans.
He admitted he was “incredibly excited and bullish” on the asset, describing it as “the alpha of the cryptosphere.” The politician also put his name on the list of people who see BTC as digital gold.
Cruz believes its main advantage is its ability to serve as a hedge against the worrisome inflation that has spread across the United States and many other countries. He supported the thesis that BTC’s hard cap of 21 million coins ever in existence could give the asset anti-inflationary properties.
The fixed supply contracts with limitless printing of fiat currency that central banks could and have done (especially during the COVID-19 pandemic). Cruz criticized the U.S. government for allowing this policy and thus raising inflation to levels not seen in several years:
“We’re seeing inflation across the country driven by this spending spree that happened over the last two years in Washington that triggered significant inflation.”
Another reason the Republican loves BTC is that it cannot be controlled by governments, saying this is why China banned all operations involving cryptocurrencies:
“I like bitcoin for the same reason the Chinese communist government doesn’t like bitcoin. They don’t like bitcoin and they banned it because they can’t control it.”
Cruz then admitted that he was a bitcoin investor, holding a little more than 2 BTC. He also has a standing buy order every Monday to increase exposure, regardless of the momentum valuation.
CBDC should not appear in the US
Besides touting his support for bitcoin, Cruz argued that the potential launch of a digital dollar could harm the local monetary system:
“I’m very concerned about the risk of a CBDC. I think it’s extraordinarily dangerous; we see China moving forward with the intention of using a CBDC to destroy all the value of bitcoin, to destroy anonymity, to destroy decentralization.”
The senator introduced a bill last year aimed at preventing the Federal Reserve from issuing such a financial product.
“This bill goes a long way toward ensuring that big government doesn’t try to centralize and control cryptocurrency so it can continue to thrive and flourish in the United States. We should be empowering entrepreneurs, enabling innovation, and increasing individual freedom — not stifling it,” he said. time.
Featured image courtesy of CNN
