Adam Back, CEO of Blockstream, stated at Blockchain Week Paris 2025 that Bitcoin may compete with gold as a hedge against inflation in the coming decade. Back predicted a 10-15% inflation rate in the future, making traditional investments like stocks or real estate less profitable. He believes Bitcoin’s acceptance will increase due to global economic inflation and currency instability. Despite Bitcoin’s 30% correction from its all-time high of over $109,000, Back considers it a scarce asset similar to gold, with growing acceptance. He pointed out that the supply increase of major currencies like the dollar and euro exceeding 50% in the past five years might lead to Bitcoin being chosen as a hedge against this inflation. According to Back, ultimately, this money is used to buy all goods, and prices, especially long-term assets like real estate, will increase accordingly. Therefore, Bitcoin may compete with gold in the future, absorbing some of gold’s applications, such as geopolitical risk hedge, and attracting part of the money flowing towards gold. Besides inflation, Back mentioned the role of Bitcoin exchange-traded funds (ETFs) and the US government under the Trump presidency in aiding greater Bitcoin acceptance. Back emphasized that ordinary individuals and private investors should start accepting and buying Bitcoin before governments, as government purchases will likely trigger a wave of competition among different governments to buy Bitcoin. It is noteworthy that on March 7, 2025, Trump issued an executive order to create a reserve of seized Bitcoin, a significant step towards integrating Bitcoin into the traditional financial system.
