Bitcoin can be used by the Chinese as a Financial instrument against the US, says Peter Thiel. Urging the US government to put stricter regulations on cryptocurrencies.
Peter Thiel, a venture capitalist and a believer of crypto and bitcoin. But in an appearance last Tuesday he warned the US government not to put down the defense. As Bitcoin can be used by the Chinese as its Financial Weapon to undermine the US, says Max Chafkin of Bloomberg.
Could this be a change of heart for Peter Thiel? Peter Thiel not only is a believer in crypto, but he himself has invested in cryptocurrencies. And yet he thinks that the cryptocurrency could be used by the Chinese to weaken the US. Thiel was interviewed at a virtual event of the Richard Nixon Foundation.
Peter Thiel said that he was a bit hesitant over what he said as a definite fact. That Bitcoin should be seen as a Chinese instrument in its fight against the US. But Bitcoin threatens fiat currency, more particularly it threatens the US dollar. So, it is better for the US government to take a close look at how Bitcoin works.
Together with Peter Thiel are Mike Pompeo, former Secretary of State, and Robert O’Brien, former National Security Advisor. Thiel frequently criticized American companies who do business with Beijing. And the two former members of the Trump Administration were basically focused on US-China relations.
Peter Thiel criticizes the American Tech Giant Companies
During the discussion, Thiel elaborated on the criticism over Alphabet Inc.’s Google. Thiel believed that Alphabet was indirectly working against American interests. He added that the company employees in the AI division should be investigated whether China used their technology.
Google insisted that it doesn’t work with the Chinese military. The company is committed to continuing its cooperation with the US government including cybersecurity, recruitment, and healthcare.
Leaving Silicon Valley last 2018, Thiel complains that tech companies have become like a “one-party state”. He suggested that the US government should scrutinize these American Tech Companies not just Google but including Apple. Who makes most of its devices in China, where labor standards are looser than that of the US and Europe. Apple seemingly has a close relation with China and probably poses a real problem to the US interests.
Thiel also suggested that the US should follow the footsteps of India who apparently banned the social app TikTok. The social app is owned by the Chinese company ByteDance Ltd. TikTok was considered a national security threat due to mining people’s data and making huge money out of it.
Facebook too was not out of the loop. Thiel criticized Facebook along with other tech companies for banning President Donald Trump in its platform.
The appearance of Pompeo may have implications for the 2024 presidential race. Pompeo is seen to be a possible candidate for the Republican party. Thiel was a major supporter of Trump in 2016. And recently donated $10 million to support the potential Senate candidacy of J.D. Vance, who previously worked at a Thiel-backed venture capital fund.