Posted 2 years ago | by Ben Armstrong

Peter Schiff: US Dollar Will Crater – Fed has Gone Wild

Money manager and economic expert Peter Schiff, the founder of Euro Pacific Capital and Schiff Gold, recently has talked with Greg Hunter of Schiff thinks that the risk of a US dollar collapse is rising.

The Fed and Congress are printing money to deal with the economic crisis caused by the COVID-19 pandemic, which is probably bad for fiat currency in general.

The US economy has been suffering from the COVID-19 lockdown. The Federal Reserve has doubled its balance sheet (or more) in the space of a few months, while Congress is spending trillions of dollars to pay bills.

However, it seems Americans do not care whether the risk to the U.S. dollar may happen due to massive money printing.

If you are interested in speculating on the direction of the gold price, you can do that at Phemex. It is a next-generation exchange that will allow anyone with Bitcoin to trade futures on a variety of markets, including gold.

Schiff: Problems are Coming

Schiff explained that the reason for this fiat currency risk has to do with the sense of complacency, as people think the same policies were used in the past without negative consequences. However, the money manager thinks differently.

He explained:

“We didn’t have runaway inflation and did not have loss of confidence in the dollar. So, there was no price to be paid… Since we got away with it before, they think they will get away with it again, and I think they are completely wrong.”

No More Free Money

According to Schiff, inflationary central banks policies started in the past, and the pandemic would make the system break down faster. There is no past period of monetary history that is like the present moment, and it seems like a very risky time to trust central bank assets.

He also highlighted the inflation that is likely to come:

"We are printing all this money. The Fed is buying all these bonds...This is it. The Fed is going all in on QE. There is no limit. They are printing all this money, and, so, ultimately, the dollar is going to tank. It hasn’t happened yet, but it will. That’s when the party really ends. That’s when there is massive pressure on consumer prices. That’s when there is massive (upward) pressure on interest rates...This could be an inflationary depression. We could have hyper-inflation. We didn’t have anything like that in the Great Depression. During the 1930s, prices went down, and people got some relief with lower prices. That made the downturn not as bad. Imagine high unemployment with the cost of living skyrocketing. That’s what we are heading for. It’s going to be the 1970’s only on steroids because it’s going to be a much deeper economic contraction with a much bigger increase in consumer prices.”

Precious Metals may Shine

Schiff predicted that gold and silver will accelerate higher in price, and become the replacement to the US dollar as the main reserve asset for global central banks, while the U.S. dollar and other fiat currencies are losing value.

To wit:

“People need to convert their dollars now into gold or silver. If you think the price of gold is going up now, wait till the dollar is the weakest of the currencies... That’s going to accelerate the appreciation of gold...and that’s going to put gold in the spotlight as the replacement to the U.S. dollar as the main reserve asset for global central banks.”

Overall, it is difficult to argue with Peter Schiff. He seems to be right about the wild policies that central banks have created, and all that money has to go somewhere. Bitcoin and cryptos may also be a hot asset class, as they are far better for buying everyday items, as the situation in Venezuela has shown us.

About Ben Armstrong

ef4f73e9ddeb61becab57469962fa946?s=90&d=blank&r=g Peter Schiff: US Dollar Will Crater – Fed has Gone WildBen Armstrong is a YouTuber, podcaster, crypto enthusiast, & creator of Better known as BitBoy Crypto, he works hard to educate and inform the crypto community.

Ben has been involved with the world of cryptocurrency since 2012 when he first invested in Bitcoin. He used Charlie Shrem's BitInstant & lost Bitcoin in the Mt. Gox hack.

In 2018, Ben decided to go "full-time crypto" and focus all of his time and energy into expanding the reach of crypto.

If you have any questions or comments please feel free to email him at or contact him on Twitter @BitBoy_Crypto.