Ex-BitMEX CEO Explains How Bitcoin Will Reach $1 Million by 2030

Bitcoin (BTC) will reach $1 million by 2030One of the most famous experts in the cryptocurrency industry argues that countries around the world will start to avoid the euro and the US dollar.

In an article published on April 27, Arthur Hayes, former CEO of digital derivatives giant BitMEX, reiterated his prediction: In the coming years, the value of gold and BTC will rise exponentially.

China will reduce its exposure to Western assets

Hayes believes that in light of the sanctions imposed on Russia due to the invasion of Ukraine, we will see a significant change in economic policies and the geopolitical framework. The European Union and the United States are currently doing their best to reduce their dependence on Russian energy and foodThese options are sure to have negative repercussions in the long run, and will cause the price of Bitcoin to rise.

The situation is complicated. Inflation, which reached its highest levels in the past forty years even before the conflict in Ukraine, was exacerbated by Western sanctions; At the same time, the Russian economy looks shaky after the West froze hundreds of billions of dollars in its overseas assets.

Of course, China is watching the situationWith a view to avoiding such treatment of its assets. Since the late 1990s, a virtuous circle has seen China sell cheap goods to the West for its fiat currency, which is then returned to importers in exchange for public debt. This keeps interest rates low, and thus Chinese goods become cheaper as a result.

Recent disruptions in supply chains, rampant inflation and now the threat of asset expropriation are changing the status quo. Hayes believes, however, that rather than changing its manufacturing model, China will need to find a way to reduce its exposure to worst-case scenarios:

“It is impossible for China to sell trillions of US dollars and Euros worth of assets without destroying the global financial system. This would hurt the West, but also China.

Therefore, the least destructive course for these assets is to stop reinvesting maturing bonds in the Western financial system. China and its state-owned agent banks will try as much as possible to reduce their exposure to Western stocks and real estate, without unduly disrupting the market.”

Select Hayesstorable goods, gold and bitcoinAs potential exit points for Beijing. However, in this regard, it must be emphasized that the Chinese government has always taken a hostile approach towards Bitcoin, to the point that it recently banned cryptocurrency mining.

BTC/USD vs. XAU/USD vs. Standard & Poor’s 500 vs. Nasdaq 100 weekly candlestick chart. Source: TradingView

Bitcoin at $1,000,000, Gold at $20,000 by the end of the decade

Even more surprising is Hayes’ prediction about Western democracies and, in particular, the European Union. Not being able to achieve self-sufficiency, severing all ties with Russia will fuel a An unstoppable fire will eventually lead to the disintegration of the European project.

Exporters such as Germany will not be able to compete with China, while rampant inflation will create internal conflicts between southern and northern EU:

“The European Central Bank is under siege, the European Union is finished. In a decade we will be back to the sterling, the drachma and the deutsche mark. And when the union breaks up, an insane amount of money will be printed in a bunch of different local currencies. Hyperinflation is not out of the question.”

As European savers understand what’s going on, they will flee to assets like gold and bitcoin. With the death of the European Union, the value of Bitcoin will reach $1 million.”

Bitcoin will also hit the million dollar mark due to what Hayes calls The ‘death ring’ of Western financial policiesmainly due to yield curve control (YCC), in a desperate attempt to avoid bankruptcy.

Gold, which will remain the main store of value, will reach $10,000-20,000 an ounce By 2030:

“The Doom Loop will bring bitcoin to $1 million and gold to $10,000 to $20,000 by the end of the decade. We need to take action for countries to invest part of their surplus in bitcoin, so that economies around the world can emerge on BTC I repeat: unlike gold Bitcoin must move so that the network does not collapse.

Don’t hold a grudge against countries that refuse to adopt Bitcoin even after hearing the kind word. As Lord Satoshi said, “Forgive them, for they do not know what they are doing.”

Hayes is no stranger to bold predictions: in March of this year, he said bitcoin would one day reach several million dollars.

But analyst Alex Krueger did question Hayes’ ideas:

“I usually appreciate Arthur’s articles, but it has been getting worse lately. He makes up facts and inflates some facts to make his stories more believable. Many users will read his words and develop a golden bug mentality that the world is always on the verge of collapse.”

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