Soros Fund Management Investment Chairwoman Don Fitzpatrick announced the fund is actively investing in the cryptocurrency sphere as it foresees a turning point for Bitcoin and the associated crypto assets.
When questioned if she holds Bitcoins, Fitzpatrick covertly answered that she does not want to answer this question.
Without revealing her crypto assets, the leading manager spoke about her opinions on the cryptocurrency business:
“We feel that all the existing infrastructure in the crypto space is captivating. We are invested in this infrastructure and we believe that right now is the turning point. I want to highlight that everything – from the analytics and asset managers of the exchanges to such ordinary things as tax reportage on cryptocurrency profits and everything in between – is remarkably fascinating.”
She then explained exactly how the continuous printing of money by the Federal Reserve is a leading factor in the BTC’s success.
“We are living in a really crucial point in time when something like Bitcoin could have remained a marginal asset. However, over the past twelve months, we have expanded the money supply in the US by more than 25%. Consequently, there is a genuine concern of fiat currency devaluation.”
In her words, Bitcoin is not exactly a currency, but rather a commodity that is simple to store and transfer. The IRS also categorizes it as a constricted supply physical asset.
Concerning the central bank’s launch of its own digital currencies, Fitzpatrick noted that they will be a reality faster than people think. Currently, China is leading the CBDC race as the country has already performed several digital yuan trials.
“There are a number of strategic reasons why they want to be forerunners. I consider this from a geopolitical standpoint: they want to utilize their currency around the world. And this represents a hypothetical threat to Bitcoin and the alternative cryptocurrencies.”
Whilst Fitzpatrick believes CBDCs pose a threat to cryptocurrency, she thinks it will be a temporary event, as it is difficult to permanently destabilize Bitcoin.
