In response to a Zerohedge article titled “The Two Causes of the Coming Great Depression,” Spencer Schiff, son of gold advocate Peter Schiff, labeled the argument “pure fearmongering.” Spencer said he has distanced himself from his dad’s views and now predicts a “hyperdeflationary economic boom.” Notably, the former staunch bitcoin supporter anticipates BTC’s price will “probably fall to near zero over the next few years.”
Peter Schiff’s Son, Spencer, Appears to Have Made Complete Turnaround
Spencer Schiff, son of renowned economist and gold advocate Peter Schiff, used to engage in debates about bitcoin’s value with his father in 2021. Back then, Spencer was a strong supporter of bitcoin, contradicting his father’s prediction that the cryptocurrency would plummet to zero. In March 2021, Peter publicly announced that Spencer had gone “all in on bitcoin on the last drop below $50K.” Spencer also advised his father to accumulate Satoshis during discussions about inflation.
On July 18, 2023, Spencer responded to a Tuesday morning tweet from Zerohedge discussing potential causes of a “coming Great Depression.” At 10:29 a.m. Eastern Time, Spencer retorted, “This is pure fearmongering.” He further noted that “We’re about to have an unfathomably enormous economic boom, not a depression. The average American’s standard of living will skyrocket over the next 5-10 years (and it will be 100% sustainable). There’s nothing to worry about regarding the economy,” he added.
Post Spencer’s declaration, a respondent suggested that the junior Schiff placed his faith in AI automation and bitcoin to be the panacea, culminating in “deflation.” Spencer clarified to this individual that his viewpoint was not influenced by bitcoin. “It’s not about bitcoin at all. I don’t think bitcoin will have a major impact on the world, and its price will probably fall to near zero over the next few years. My thesis is an AI thesis,” he said. Spencer got a great deal of replies to his statement about bitcoin.
“Very weird change of views regarding bitcoin … his dad probably told him he will not get any inheritance if he didn’t get in line. This kid will get humbled like his dad,” a Twitter account called Hornet Hodl tweeted. “‘Get in line?’ I’ve moved even further away from his views,” Spencer replied. “I used to agree with him about the economy and I thought hyperinflation was coming.” Spencer added:
Now I think a permanent hyperdeflationary economic boom is coming, and the USD will soar in value as productivity, economic output, and our living standards all skyrocket. Also, I don’t care about inheritance because it’s highly unlikely for there to ever be a situation where I’m alive while my dad is not alive.
When someone asked Spencer what changed his mind about bitcoin, he replied “AI.” Another person asked Spencer, “Weren’t you shilling bitcoin like 2 years ago?” and Spencer replied to that comment as well, saying it’s good to change perspectives. “I’m 20, my views should be expected to have big shifts,” Spencer said. “Also, I don’t own any financial assets. Not a single penny’s worth. But if I did have extra money, I would either keep it in USD (because hyperdeflation is coming) or I’d invest in AI companies, or a mix of both.”
A glance at Spencer’s Twitter timeline reveals his palpable enthusiasm for AI and software like Chatgpt, as evidenced by the numerous AI news and announcements he retweets. In a subsequent tweet on Tuesday, he reiterated his stance on hyperdeflation.
“Permanent hyperdeflation will start soon because annual economic output is about to skyrocket, potentially as much as 10x, 100x, or 1,000x over the next decade,” he insisted. “The U.S. government can print $35 trillion to pay off the national debt and consumer prices will still plummet.”
Spencer’s tweet about bitcoin garnered significant attention and drew criticism from supporters of the cryptocurrency. While some humorously remarked that the apple doesn’t fall too far from the tree, others raised concerns about a possible hack of his account.
Not long ago, Peter himself fell victim to a Twitter account breach, prompting Spencer to issue a public warning about the incident. A suggestion arose that Spencer might be playfully trolling the crypto community on Twitter, including ardent bitcoin maxis, while secretly maintaining his bullish stance on the digital currency.
After Spencer’s statements on Tuesday, the following day his father spoke about the turnaround. “My son [Spencer K Schiff] is no longer bullish on bitcoin,” Peter tweeted. “As young people typically do, he’s lost interest in a passing fad and moved on to something new. In this case, it’s AI that’s captivated his attention. As bitcoin’s young fan base matures many more will grow out of bitcoin.”
What do you think about Spencer Schiff’s change of heart toward bitcoin and his enthusiasm for AI? Do you agree with his point of view or his father’s perspective? Share your thoughts and opinions about this subject in the comments section below.