Peter Schiff, an ardent critic of Bitcoin, recently took a swipe at the digital currency again, this time at MicroStrategy’s continued purchase of Bitcoin.

Schiff criticized MicroStrategy’s bold $42 billion plan to buy Bitcoin within three years. On November 27, 2024, Schiff dismissed the firm’s approach as a dangerous bet.

Bitcoin critic Peter Schiff has once again taken a swipe at the digital currency, this time over MicroStrategy’s continued purchase of BTC. Schiff slammed the firm’s bold three-year, $42 billion plan to buy Bitcoin.

On November 27, 2024, Schiff dismissed the firm’s approach as a dangerous bet. “At this rate the three-year plan will be completed in about 16 weeks,” he added, stating that the temporary price increase from these acquisitions will be short-lived, resulting in a significant drop in both Bitcoin’s price and MicroStrategy’s stock price.

According to Schiff, MicroStrategy’s large-scale purchase of Bitcoin is artificial price appreciation. He notes that the firm may face problems since all its eggs are in one basket, being Bitcoin, and in the future the firm may not be able to continue funding the purchases. The critic’s warning echoes his view that this approach is actually a potential threat to both the company and its shareholders.

MicroStrategy began adopting Bitcoin as a primary investment strategy in August 2020. The firm has also been known to purchase a significant number of bitcoins at once, regardless of market fluctuations. The company’s recent purchase of 55,500 BTC at about $5.4 billion strengthens its position even more. MicroStrategy now has 386,700 BTC in its possession today, valued at more than $36 billion, making the company one of the biggest corporate owners of the cryptocurrency.

Michael Saylor, the firm’s chairman, has however come out to defend this step, insisting that the company has no intention of selling off the Bitcoin assets in the near future. Saylor remains bullish on Bitcoin and encourages other companies to follow in the same footsteps.

This is not the first time Schiff has attacked MicroStrategy’s decision to invest in Bitcoin. Earlier in November, he targeted Saylor for his bullish stance on BTC.

Ironically, as recently reported by Cryptopolitan, Schiff stated that he wished he could have bought Bitcoin earlier, when it was still trading for about $1. “Obviously, I wish I had bought Bitcoin when I first heard about it. I was wealthy at the time,” he said.

Besides mocking MicroStrategy, Schiff has also berated the Trump administration for supporting Bitcoin. He said that endorsing Bitcoin would be detrimental to the US economy, and the government is most likely to manipulate capital allocation through its interactions in the cryptocurrency markets. On X, Schiff stated in a post, “Becoming the Bitcoin superpower makes America weaker.”

Trump has supported Bitcoin as a possible US national currency and has vowed to make America the leader in cryptocurrency. His opinion coincides with that of U.S. Senator Cynthia Lummis, who introduced the Bitcoin Act.