In a letter to investors published on 29th July the President of Pantera Capital Dan Morehead noted that the USA had printed a shocking amount of money to counter the financial crisis caused by the pandemic.
Morehead explained that Pantera Capital sees Bitcoin as the solution to the present crisis. He also contrasted the effects of printing money in recent months with how an equivalent amount of currency has worked over the centuries.
Morehead cited the resulting inflation as the main reason to "get out of the paper money into Bitcoin". According to the CEO, "there is no need for inflation-adjusted figures [with Bitcoin] because there is no inflation/hyper-inflation.
Goldbug Peter Schiff is also concerned about the effects of printing money. He noted comments by Federal Reserve Chairman Jerome Powell, who said this week that the Fed is using "the full range of tools" to respond to the pandemic: printing money, keeping interest rates close to zero, and stable asset purchases of $120 billion a month.
Despite widespread concerns about inflation, many experts predict that consumer prices will actually enter a period of deflation - and this is what happened in Australia this week, where ABC News reported that consumer prices in that country actually fell by 1.9% in June. This is a deflation record since the Korean War.
