Alexis Ohanian, co-founder of social media platform Reddit, has some very generous words for bitcoin and cryptocurrencies.
Ohanian who appeared as a guest on The Late Show with Stephen Colbert on Tuesday declared that cryptocurrencies can fuel the new internet while highlighting the role of bitcoin as a store of value.
“Cryptocurrencies are a fuel for a potentially new internet. Things like bitcoin and cryptocurrency are an opportunity for us to have a store of value that is not backed by a single country.” – Alexis Ohanian
He noted that bitcoin and cryptocurrency were very important because it can be transferred across different countries and not dependent on any. For this reason, he said it can be used to avoid hyperinflation in less developed economies.
“In so many states, there are uncertainties about government and money. And people see their lives savings disappear. There’s a real value of having a currency that – as volatile as bitcoin is – are still potentially less volatile than some of the states that see hyperinflation […] For so many people in the world to have that security of knowing what’s yours is yours – because it [cryptocurrency] is now digital, it can be transferred with you wherever you are going – is actually pretty empowering.”
People in developed countries may not relate with this benefit of bitcoin, Ohanian says. In countries with high inflation like Argentina, Iran, and Venezuela (which launched its Petro cryptocurrency), residents can look to bitcoin to store their savings to avoid severe depreciation.
His company Reddit stopped receiving bitcoin payments sometime in March but said they would soon start accepting bitcoin and some other cryptocurrencies.
Ohanian, who also founded the Venture Capitalist firm Initialized Capital, said in the show that he no longer conducts the day to day activities at Reddit. He recently predicted that bitcoin will end the year above $20,000 and ethereum, $15,000.