Arthur Hayes, co-founder of BitMEX and a leading figure in the cryptocurrency world, recently shared his thoughts on the intersection of politics and cryptocurrency. Hayes, who began his career on the trading floor of Deutsche Bank in Hong Kong during the 2008 financial crisis, saw firsthand the dramatic shifts in the financial landscape.
“When I read the Bitcoin white paper, it really resonated with me in terms of my real philosophy, which is the corrupt banking system and how ridiculous it is,” Hayes said.
More than a decade later, Hayes has become a billionaire and one of the most influential commentators in the crypto industry. He believes that despite the changes the crypto market has undergone, it has retained its fundamental energy:
“It still has the energy of a really diverse group of people from around the world, either from a financial perspective or from a technology perspective. And they want something different.”
Hayes spoke candidly about the upcoming US presidential election, stating that the result will not significantly affect financial markets:
“Both the Trump administration and the Harris administration will print money. They will do it in different ways. But money will be printed. So your cryptocurrency will go up, the path may be very variable but at the end of the day we know where it's going.”
Hayes also touched on US Securities and Exchange Commission (SEC) Chairman Gary Gensler's role in the crypto industry. Hayes dismissed the idea that Gensler was the primary problem, instead pointing to broader regulatory challenges: “Firing Gary Gensler won't do any good if the regulations you were initially unhappy with are still in place because your elected representatives would rather think about other things than create a framework for crypto.” “
Discussing the concept of Bitcoin reserves, Hayes was skeptical about its feasibility but supported the idea:
“The US should weaken the dollar and at the end of the day buy Bitcoin and gold. That will solve a lot of their problems. Do I think the US government will proactively try to buy Bitcoin? It's highly doubtful. They would buy gold before they buy Bitcoin.”
Hayes remains optimistic about Bitcoin’s future and predicts a significant price increase. “The price of Bitcoin is going to go up very, very high in this cycle. Hundreds of thousands of dollars, maybe $1 million. We are entering a period where the global monetary architecture is completely changing.”
As the crypto market continues to evolve, Hayes emphasizes the importance of maintaining an open field. “BlackRock should be able to use Bitcoin, and someone in the Philippines who has no financial services should be able to use crypto. If you own a BlackRock product, you own a crypto derivative; you don't own crypto, in which case cryptocurrencies belong to BlackRock.”
*This is not investment advice.