Peter Schiff says he "gets Bitcoin," but not USD-pegged stablecoins, floating on the idea of gold-backed tokens.
Peter Schiff, a long-time critic of cryptocurrencies and Bitcoin, has criticized the value of US dollar stablecoins, advocating for gold-backed alternatives.
He stated that he intends to launch a gold-backed token, without providing a timeline or further details.
The stablecoin market, dominated by dollar-backed tokens, has surpassed $260 billion, while gold-backed tokens remain a niche market at $2 billion.
Peter Schiff, a proponent of gold and a long-time critic of cryptocurrencies and Bitcoin.
He stated that he intends to launch his own gold-backed token while digging into the value of stablecoins pegged to the US dollar.
"I’m getting Bitcoin, but not US dollar stablecoins," Schiff posted Friday on X. "If you’re going to present a third-party custodian, why settle for a token backed by an imperfect fiat currency like the dollar when you can own one backed by gold?"
In response to a user who encouraged him to launch a gold-backed stablecoin, Schiff confirmed: "They already exist. But I intend [sic] to launch my own."
His remarks come as the U.S. Senate passed the so-called GENIUS Act to regulate the rapidly growing stablecoin sector, a type of digital currency whose prices are anchored to an external asset such as fiat currencies. The stablecoin market has reached over $260 billion, with Citi predicting it could become a $3.7 trillion asset class by the end of the decade.
These tokens have become a key component of the commercial infrastructure and are increasingly popular for cross-border payments and remittances. The market is dominated by dollar-backed tokens like Tether's USDT and Circle's USDC.
Gold-backed tokens, on the other hand, form a niche but growing segment with a market size of about $2 billion. Unlike fiat-backed stablecoins, gold tokens are primarily used as a store of value, like their physical counterpart, but on blockchain rails. However, there are ongoing efforts to bring more utility to gold tokens in decentralized finance applications, for example by using them as collateral for loans.
