Bitcoin (BTC) Bull Balaji Srinivasan Says Money Printing Will Explode at ‘Historic Scale’ Amid Fiat Currency Crisis

Former Coinbase chief technology officer Balaji Srinivasan thinks that the government will once again turn on the money printers and devalue the US dollar like never before.

Srinivasan tells his 895,200 Twitter followers that the US is in the midst of a “fiat crisis” as well as a financial crisis.

“Everything is bust. Banks, commercial real estate, blue states. Hearing rumblings around insurance too. The printing will be on a historical scale. As will the desire to exit the printing.”

Looking closer at the state of the insurance industry, the Bitcoin (BTC) bull says that insurers, like banks, hold government bonds that have been devalued amid the string of rate hikes issued by the Federal Reserve over the past year.

“On the topic of insurance… you know all those ‘safe’ assets that insurers hold to pay you back? A lot of that is in Fed-devalued bonds too.

Remember, insurers hold ‘safe’ assets like bonds and mortgages. And how are those safe assets doing? In the era of unprecedented, surprise rate hikes? Not so great, Bob.” 

Source: Balaji Srinivasan/Twitter

Looking at the former Coinbase executive’s chart, it appears that in 2019, bonds account for over 70% of US insurers’ portfolios.

Srinivasan says that the takeaway from the crises will be to not trust the state.

“This isn’t just a financial crisis. It’s a fiat crisis. All the bills are coming due. Only a few pieces have come into public view. But it’ll be obvious in retrospect: don’t trust the state.” 

The angel investor started to catch the attention of crypto traders last month after making a seriously bold Bitcoin forecast. Srinivasan said that Bitcoin looks poised to explode in less than 90 days from now to $1 million amid the meltdown in the banking sector.

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