Former congressman Ron Paul has warned of a government crackdown on bitcoin and safe-haven assets may not be safe from government intervention. â€œThe government is the threat,â€ he said, noting that â€œthey will crack down because they have the ability to do it.â€
Ron Paul Warns of Government Threat to Bitcoin
Former presidential candidate Ron Paul shared his view on the governmentâ€™s intervention on bitcoin in an interview last week with Kitco Newsâ€™ Michelle Makori. Paul is an American author, physician, and retired politician. The former congressman from Texas launched The Ron Paul Liberty Report in 2015 to bring â€œprovocative opinion and analysis to the breaking issues affecting our lives and finances,â€ its website describes.
Paul was asked about the â€œthreat of potential gold confiscation or one form or other of government intervention because that concern is rising.â€ Several well-known hedge fund managers, like Bridgewater Associates founder Ray Dalio and â€œThe Big Shortâ€ investor Michael Burry, have said that â€œsafe-haven assets are not necessarily going to be safe from government intervention,â€ Makori recalled. â€œThey expect possible tax changes or regulations that will prevent a flight of capital to these assets that could be viewed as an alternative to the dollar, like gold, like bitcoin.â€ She then asked Paul, â€œCould they be at risk of a government crackdown?â€
The former congressman replied:
He added: â€œWe had a taste of [a free society]. If you donâ€™t know where to start, just start with the Constitution, that might give you an idea of what a free society is all about.â€
Paul was also asked: â€œWhat form of a crackdown do you think this could take when we talk about assets, like gold and even bitcoin, potentially being at risk of government intervention at higher taxes and regulation â€¦ what do you think could happen to those assets?â€
The former congressman replied, â€œI think all of that can happen.â€ He elaborated that â€œEither the tax system will be usedâ€ or the government will just print more money, resulting in â€œthe devaluation of the currency.â€
He further opined: â€œBut they will do it for public relations reasons. They will have to show that theyâ€™re putting a heavy tax on the very wealthy because of the civil strife thatâ€™s going on.â€
On President Joe Bidenâ€™s proposed infrastructure bill, Paul expects its outcome to be â€œworse than average.â€ He opined: â€œMost likely it will do what those kinds of programs always do, they spend a lot of money, theyâ€™re inefficient, they always cost more than they thought they should. Besides, itâ€™s built on some mystical belief that you shouldnâ€™t have any concern about the deficit â€¦ everybodyâ€™s just in a dream.â€
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