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Senior investor Jim Rogers, who co-founded the Quantum Fund with billionaire investor George Soros, remains concerned about the government’s ban on Bitcoin and other cryptocurrencies. He said: “If cryptocurrencies succeed, most governments will declare them illegal because they don’t want to lose their monopoly.”
Jim Rogers, a well-known investor and former business partner of George Soros, and co-founder of Quantum Fund and Soros Fund Management, still believes that the government can ban Bitcoin and other cryptocurrencies.
Rogers told Kitco News’s Michelle Makori last week that he “never bought or sold any cryptocurrency”:
If cryptocurrencies succeed, most governments will declare them illegal because they don’t want to lose their monopoly.
“The government of every country in the world is working hard to develop a computer currency, including the United States. The Chinese are already there. I can’t imagine the government saying “Well, this is our cryptocurrency, or you can use their cryptocurrency.” “Historically, this is not the way the government works,” he thinks.
Rogers added: “The money will be on the computer. It’s already in China. In China, you can’t spend money on taxis. You have to have the money on your phone, and you can’t even buy ice cream. It’s happening, but I doubt it will become Other people’s money. History proves that this will be government money.”
He believes that the biggest threat to Bitcoin is “if it succeeds,” government regulation, but “as long as it remains a trading tool, it won’t.”
The co-founder of Quantum Fund further pointed out:
I know someone makes a lot of money in trading, which is obviously an amazing trading tool. However, if it becomes a currency, which is what cryptocurrency people say, I can’t imagine that any one or more governments in the world would say “OK, you can use our money or their money”. That is not what history shows.
Rogers agreed when commenting on Fed Chairman Jerome Powell’s comparison of Bitcoin and gold speculation, and agreed that people use both as trading tools. However, he added that history will show that silver and gold may have a better future than cryptocurrencies because they are not trying to compete with the U.S. dollar or other sovereign currencies.
Rogers is not the only one who has warned of government intervention and declared cryptocurrency illegal. Other companies include Ray Dalio, founder of Bridgewater Associates, Michael Burry and Ron Paul of The Big Short.
However, many people also say that the government cannot declare Bitcoin illegal. The Commissioner of the US Securities and Exchange Commission (SEC) Hester Peirce recently stated that the government’s attempts to ban Bitcoin are “stupid” and that banning it is like shutting down the Internet. In addition, she said: “It is difficult to prohibit things that are essentially peer-to-peer technology.”
Do you think Jim Rogers’ concern about the government’s ban on Bitcoin is unfounded? Let us know in the comments section below.
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