Schiff began the Gold vs. Crypto debate by defining his viewpoint on gold and how he sees it fitting into a bigger portfolio. He stated in a Youtube video posted on February 24 that we should place gold in its correct context. He added that he is an investment manager and he’s always or continuously advocated that people maintain 5–10% of their portfolio in gold, but the rest of their portfolio is in incoming-producing assets or firms.
Schiff went on to say that, in an inflationary climate, storing liquidity in gold was better than holding it in fiat money. He believes that gold is superior to fiat money and cryptocurrencies, but not necessarily superior to regular equities.
However, Richard Heart scoffed at Schiff’s arguments, stating that everything he had just stated was really foolish. Richard emphasised that this was going to be a simple discussion. He said sorry to those people who were expecting something thrilling. Richard highlighted the fact that Schiff has annihilated his own argument. “I’m debating with a guy that owns 10 to 20 times more not-gold things than gold things because he knows that those things are better assets. He says that gold holds value over time, but it doesn’t “,he added. Heart then displayed a chart depicting the price of gold versus the US dollar from 1980 to the present, adjusted for inflation.
Heart, dressed like upholstery and decked out in his typical gold swag, unleashed a barrage of assaults against Schiff. Heart went on to say that individuals can swap bitcoin for gold and that Schiff’s own firm takes bitcoin for gold, demonstrating that Schiff believes bitcoin has genuine worth. Schiff was not interested in the line of reasoning.
Peter Schiff further argued that if you had bought gold five or 50 years ago, you would be up, claiming that Heart was cherry-picking the time period, before reminding the audience that HEX was down 70% from it’s all-time high in September 2021.