ShapeShift CEO Erik Voorhees said cryptocurrencies will increase during the next global financial crisis. The finance expert of the global trading company believes that the high level of US debt will paralyze the economy unless more money is printed. He argues that this will lead to an increase in cryptocurrency investments.
He said: "When the next global financial crisis occurs, the world will realize that organizations with 20 trillion dollars of debt can never repay it.
"So he must print it instead, and then the Fiat is condemned.
"See what happens to the crypt."
US lawmakers continue to increase the country's debt ceiling, allowing the federal government to take on more and more debt.
His theory is that the debt level of world economies is unsustainable and will put the states under pressure the next time a financial incident occurs.
As a result, he believes that quantitative easing will have to take effect, the process by which governments print money, to help pay the money they owe.
More money is less worth it, which means ordinary households could be set to see their savings diminish in value.
Voorhees believes that this in turn could lead to more people investing in cryptocurrencies.
However, digital currencies are also a financial risk for investors due to their history of extreme volatility.
In 2017, the value of Bitcoin exceeded twice its value, reaching $ 19,783 in December.
However, it then plummeted in 2018 to a minimum of less than $ 6,000 in June.
Since then, online money has stabilized and has not seen any significant increases or decreases in its value.
At the time of writing Bitcoin is worth $ 6,367.36