Former UK Prime Minister Calls Bitcoin A ‘Giant Ponzi Scheme’, Strategy’s Saylor Replies

Former Prime Minister of the United Kingdom, Boris Johnson, stated he has all the time feared that Bitcoin is a “large Ponzi scheme,” with the newest tales across the cryptocurrency showing to show him proper.

Former Prime Minister Johnson Calls Pokémon Cards A Better Bet Than BTC 

In a March 13 Daily Mail column, former UK Prime Minister Boris Johnson shared his ideas about Bitcoin, the world’s largest cryptocurrency by market capitalization. According to the previous political chief, Bitcoin and different crypto property are a Ponzi scheme as a result of they lack intrinsic worth and enough real-world makes use of.

Johnson argued that Bitcoin depends on the “higher idiot” idea and is sustained by the collective perception that infinite new consumers will emerge. Sharing the story of an aggrieved native investor, the previous UK chief warned that bizarre persons are more and more falling sufferer to crypto-related fraud.

Johnson in contrast the flagship cryptocurrency to conventional shops of worth, reminiscent of gold and fiat forex, whereas claiming that Pokémon playing cards are a safer long-term wager than the world’s largest cryptocurrency. While noting the historic attract of gold and the sentimental worth of classic Pikachu playing cards, the previous Prime Minister known as Bitcoin “strings of numbers” with no central authority or accountability.

In truth, Johnson argued that decentralization, a singular promoting level of cryptocurrencies, is their best weak spot. In his Daily Mail column, the previous Mayor of London predicted that the eroding confidence — particularly amongst common folks — would be the reason behind Bitcoin’s finish.

Interestingly, opposite to his newest feedback in his Daily Mail column, Johnson’s personal administration was fairly instrumental in opening the UK’s doors to the digital asset industry. In April 2022, the then-Chancellor of the Exchequer, Rishi Sunak, unveiled a major initiative to make the United Kingdom a “world hub for cryptoasset know-how and funding.”

Bitcoin Is Not A Ponzi Scheme: Michael Saylor

Expectedly, Johnson’s feedback in regards to the premier cryptocurrency sparked attention-grabbing reactions from completely different corners of the crypto neighborhood. Strategy’s founder and chairman, Michael Saylor, produced one of many loudest rebuttals to the previous Prime Minister’s claims.

Saylor, in a reply on X (previously Twitter), stated that Bitcoin shouldn’t be a Ponzi scheme. Using the definition of a Ponzi scheme, the Strategy chairman reiterated that the flagship cryptocurrency has no “central operator promising returns and paying early traders with funds from later ones,’ as usually required by Ponzi schemes.

Saylor wrote:

Bitcoin has no issuer, no promoter, and no assured return—simply an open, decentralized financial community pushed by code and market demand.

Saylor has been one of the vocal supporters of Bitcoin, together with his firm’s regular acquisition a proof of his perception in Bitcoin’s long-term promise. As of this writing, the worth of BTC stands at round $70,590, reflecting a 1.4% decline prior to now 24 hours.

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