Benzinga - Former Coinbase CEO Balaji Srinivasan on March 17, placed a bold bet on Bitcoin’s (CRYPTO: BTC) future. He publicly wagered that Bitcoin would reach $1 million within 90 days, which is by June 17.
What Happened: This bet came after James Medlock tweeted that he’d bet anyone $1 million that the US would not experience hyperinflation. Srinivasan, who had been warning about the risk of hyperinflation for some time, took up the wager and set a term of 90 days for the bet.
I will take that bet.You buy 1 BTC.
I will send $1M USD.
This is ~40:1 odds as 1 BTC is worth ~$26k.
The term is 90 days.
All we need is a mutually agreed custodian who will still be there to settle this in the event of digital dollar devaluation.
If someone knows how to do this… https://t.co/hhPr522PQu pic.twitter.com/6Aav9KeJpe
— Balaji (@balajis) March 17, 2023
The bet wasn’t precisely based on US hyperinflation. Srinivasan bet that Bitcoin, which he views as a hedge against inflation, would be worth $1 million by the end of the 90-day term.
However, with just one day left to the expiration of the 90-day bet, Bitcoin’s price is down roughly 3% since Srinivasan first placed the wager. On March 17, BTC closed the day session at $26,300. At the time of writing, BTC was trading at $25,471.
See More: A Stay At The Floating Palace From James Bond's ‘Octopussy’
Why It Matters: Although the bet was set on March 17, Srinivasan settled it early in the first week of May.
It appears to be his way of making a point: “I spent my own money to send a provably costly signal that there’s something wrong with the economy and that it’s not going to be merely a financial crisis, but a fiat crisis,” Srinivasan wrote in a blog post.
Read Next: Bitcoin, Ethereum, Dogecoin Rise On BlackRock ETF News: Why This Veteran Trader Says King Crypto Is ‘Hinged To The Downside For Now’
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.