Former Coinbase CTO Balaji Srinivasan has taken a $1 million bet on Bitcoin, predicting that the cryptocurrency will hit $1 million by June 17. The bet was initiated on March 17 when Twitter user James Medlock offered to bet anyone $1 million that the US would not experience hyperinflation. Srinivasan accepted the bet, with the proposed terms stating that if Bitcoin’s price fails to reach $1 million by the set date, Medlock wins $1 million worth of USD Coin (USDC) and 1 BTC. Conversely, if Bitcoin reaches the predicted value, Srinivasan keeps both assets.
Different Views on the US Economy’s Future
Medlock and Srinivasan hold opposing views on the future of the US economy amid ongoing uncertainty regarding the country’s banking system. Srinivasan predicts an impending crisis that will lead to deflation of the US dollar, resulting in hyperinflation and Bitcoin reaching $1 million. On the other hand, Medlock holds a bearish view about the possibility of hyperinflation in the US.
Smart Contract Set up on Twitter
Srinivasan’s wager with Medlock, in which both parties bet on the future value of Bitcoin, has been facilitated by a smart contract set up on Twitter. Other users also helped set up the contract with the betting terms. The former Coinbase CTO has disclosed that he will move an additional $1 million in USDC for another wager on the same topic.
Also Read: India’s Government Steps Up Efforts to Clarify Regulation of Crypto Assets
At the time of writing, Bitcoin’s price is $27,218, with a market capitalization is $526 billion. Bitcoin has recorded a 65% growth in 2023, outperforming Wall Street bank stocks amid fears of a global banking crisis. Additionally, BTC’s price has shifted away from United States stocks, rising about 65% compared to the S&P 500’s 2.5% gains and the Nasdaq’s 15% decline.
