Billionaire Thomas Peterffy, founder of Interactive Brokers, says he plans to buy more bitcoin if the price of the cryptocurrency hits $12K. However, he remains concerned that bitcoin could “become worthless or outlawed.”
Thomas Peterffy on the US economy and Bitcoin
Billionaire Thomas Peterffy shared his outlook for bitcoin and the US economy in an interview with Forbes last week. Peterffy is the founder and chairman of the board of Interactive Brokers, an online trading platform. His net worth is currently $18.4 billion, according to Forbes Billionaires List. Interactive Brokers offers cryptocurrency trading.
The billionaire said in January that it is prudent for investors to have 2% to 3% of their personal wealth in cryptocurrencies, just in case fiat currency goes to “hell.” In July last year, he revealed that he is holding some BTC, stating that “there’s a small chance that this will be a dominant currency, so you have to play the odds.”
He told Forbes last week that he still believes bitcoin could become very valuable despite the recent selloff in the crypto market. He added that he still holds BTC and plans to buy more if the price of the cryptocurrency hits $12,000. As of this writing, bitcoin is trading at $20,739.
Despite planning to buy more bitcoin, Peterffy remains cautious about the future of the cryptocurrency. He stressed:
There is a good chance that [bitcoin] will become worthless or outlawed.
The U.S. government could seek to ban crypto, the billionaire warned, noting that officials are concerned that cryptocurrencies are being used to “provide financing for illegal activities.” He also noted the U.S. Treasury Department’s inability to “control or keep track of payments and collect taxes.”
Commenting on the fact that US inflation hit a 40-year high in June, Peterffy warned:
I believe inflationary pressures will continue for years, not months. This is not a short-term issue.
The billionaire then shared his outlook for the stock market, predicting that U.S. stock markets could bottom out on the downside and the S&P 500 could drop 22% to $3,000 around October. “Eventually, rising prices will catch up with stocks… stocks will enter a long inflation-propelled bull market,” he said.
