The Bitcoin 2021 conference started off with a bang on June 4, 2021 when former Congressman Ron Paul roasted the Federal Reserve for its easy money policies that cause the disastrous boom-and-bust cycles. As a principled advocate of free market currencies, Paul believes that the cryptocurrency Bitcoin must be “considered seriously,” due to the present state of the American economy and the Fed’s misguided monetary policy.
During his time in office, Paul separated himself from his colleagues by calling for the abolition of the Fed. In its place, Paul believed that a system of free market currencies would take root.
Matthew Di Salvo of Decrypt highlighted how the former Texas congressman called out current president Joe Biden’s spending programs:
Touching on President Joe Biden’s $6 trillion budget proposal—which would be the biggest federal spending since World War 2—Paul said that current economic policy can’t go on for much longer.
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“The problems are going to get worse,” Paul said before the conference attendees. “There’s a lot of free money that’s circulating these days, and it’s all fake and it’s all political corruption that goes in. Free money means they either print it or steal it.”
If you know anything about me, I’ve been in politics a couple of years…I have a solution. One of my solutions for foreign policy was when we were in places we shouldn’t be in, I said, ‘We just marched in, let’s march out.’
“And that’s what we should do with the Federal Reserve too—we don’t need the Federal Reserve, it’s built with corruption so what we need to do is get rid of it,” Paul noted.
The former Texas congressman was alluding to the massive stimulus package the US government undertook last year to jump-start the economy after state governments locked down their states and shut down their economies in order to combat the Wuhan virus pandemic.
Like all governments run by power-hungry politicians, the American government has plans of spending even more money. Many individuals involved in the cryptocurrency space believe that such spending will lead to inflation, a substantial devaluation of the dollar, and the eventual adoption of Bitcoin by the masses.
On previous occasions, Paul has made it clear that Bitcoin should not be subject to government intervention. Paul admits that he doesn’t know much about the cryptocurrency, but believes that it can solve a number of America’s fiscal problems.
“[Government spending is] going to work well for Bitcoin,” he said. “Bitcoin better be considered seriously.”
Whether or not Bitcoin will live up to its hype as a potential currency to dethrone the dollar and become a free-market standard is still up in the air. Regardless, Bitcoin’s rise as a free-market money is in line with the principles that Ron Paul has championed during his time in public office. We can only hope that increased awareness of the flaws of central banking will get people to gravitate towards monetary alternatives such as Bitcoin and gold in order to promote wealth preservation and condition people to reject fiat money.