Financial commentator Peter Schiff expressed his intent to launch a gold-backed stablecoin Thursday, questioning the value of those backed by the U.S. dollar.
What Happened: Schiff responded to a comment on X that he should launch a gold-backed stablecoin.
“They already exist. But I do intend to launch my own,” Schiff replied. Many users soon converged on this post, with some even suggesting names for the initiative, such as SchiffCoin, while others called it a genuinely “good idea.”
It wasn’t immediately clear whether Schiff was making a joke or genuinely interested in tying cryptocurrency to the asset he passionately supports. Benzinga reached out to entities connected to Schiff, such as SchiffGold, to gather additional information. The article will be updated when they respond.
The conversation started on his original post, where he called the dollar a “flawed” fiat currency and instead supported having a token purely backed by gold.
“I get Bitcoin, but not U.S. dollar stablecoins. If you’re going to introduce a third party custodian, why settle for a token backed by a flawed fiat currency like the dollar, when you can own one backed by gold?,” he stated.
Gold-backed stablecoins do exist, with Tether Gold (CRYPTO: XAUT) and PAX Gold (CRYPTO: PAXG) among the most well-known. Year-to-date, the two coins have gained over 28%, matching the gains in the yellow metal.
See Also: Senate Passes GENIUS Act--Coinbase’s Brian Armstrong Calls It ‘Big Milestone,’ Scott Bessent Says Passage Could Drive Stablecoins Into A $3.7 Trillion Market
Why It Matters: Schiff’s views on stablecoins have been clear for some time. He has expressed doubts about the potential of stablecoins to maintain the U.S. dollar's dominance, suggesting their primary use would be in cryptocurrency trading.
The discussion around stablecoins has picked up momentum, especially after the passage of the stablecoin bill by the Senate. President Donald Trump praised the move and urged Congress to get it on his desk without delay.
Interestingly, Schiff established a personal ‘Strategic Bitcoin Reserve,’ promising not to sell any of it, in a move seen as a mockery of a similar declaration by President Donald Trump.
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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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