Peter Schiff reveals that it’s actually worse than Bitcoin

Peter Schiff is no stranger to criticize Bitcoin, but his latest comments add a new dimension to the ongoing debate. Buying Bitcoin may be a gamble, but do you buy stocks in companies that primarily own Bitcoin? That’s what he sees as totally ridiculous.

Schiff points to what he considers as a contradiction. If someone believes enough to expose Bitcoin, why go through an additional layer of public companies with strategies to buy and hold Bitcoin?

These so-called “Bitcoin Treasury” companies do not offer real business benefits or provide direct ownership of assets, he says. In Schiff’s view, they offer the worst of both worlds.

It’s no longer a niche case. The strategy is on the list with over 568,000 BTC (worth around $123 billion). Others like Tesla, Block, Coinbase, Metaplanet and the upcoming Technology Holdings are following along. For some people like CleanSpark and Hut 8, Bitcoin Holdings is linked to a wider range of mining operations. For others, however, bitcoin is the strategy.

For Schiff, logic is not just kept. If Bitcoin prices rise, certainly – these stocks could rise. However, their value is linked to almost the same market volatility and speculation. Also, unlike Bitcoin, stocks have additional baggage. Management risks, regulatory exposure, operational uncertainty.

He suggests that what these companies are increasingly representing is the unnecessary layers of complexity. If investors believe in the long-term value of Bitcoin, why take the extra steps of a corporate rapper that doesn’t reflect the price?

For now, the market seems willing to reward these moves. However, Schiff’s warning is clear. If buying Bitcoin is speculative, buying shares at a Bitcoin proxy company that doesn’t build, sell, or create other things could be even more ridiculous transactions.