Tether CEO Paolo Ardoino said he believes Bitcoin will eventually be the only currency in the world and that stablecoins like USDT will be useless in the long run.
On the Bitcoin Italia Podcast, Ardoino was clear that he sees USDT as a temporary solution, not a permanent fixture in the financial system.
Tether’s USDT is the world’s largest stablecoin with a market cap of over $140 billion. It’s widely used for transactions especially in emerging markets.
But despite its importance today, Ardoino believes stablecoins including USDT will eventually become obsolete. He envisions a financial “reset” where all national currencies collapse due to inflation and structural flaws, and Bitcoin will be the only alternative.
“In the long term, I don’t believe there is a future for USDT” Ardoino said, adding:
“I expect a financial reset, where all national currencies will collapse and experience hyperinflation. Consequently, USDT will be completely useless, and at that point, I believe the world will only use Bitcoin.”
That’s a big call, and has sparked a lot of debate in the digital asset space as stablecoins have become the bridge between traditional finance and digital assets.
Although Ardoino believes bitcoin will replace all fiat currencies, he acknowledges that USDT still serves a purpose today. In many parts of the world people use stablecoins to protect their savings from unstable local currencies.
USDT provides a way for individuals to store value in the digital form of the dollar in areas where access to U.S. dollars is limited.
“USDT serves as a bridge from fiat to Bitcoin,” Ardoino said. “When fiat collapses, Bitcoin will be the only alternative.”
He also emphasized that USDT was never meant to be a long-term solution. It’s a tool to help economies transition to a future where Bitcoin dominates the world of finance.
Ardoino said bitcoin is the only currency that can survive any disaster for the next 2,000 years. Unlike fiat currencies controlled by governments and central banks, Bitcoin is on a decentralized network that can’t be easily manipulated.
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“It’s (Bitcoin) the only currency capable of withstanding a catastrophe from now until the next 2,000 years,” he said. He also pointed out that venture capital firms are focused on short-term profits by investing in altcoins instead of Bitcoin infrastructure.
“Most VCs prefer to invest in altcoins for the prospect of quick gains,” he said. “In a world dominated only by Bitcoin, earnings would come solely from effort.”
While Ardoino’s Bitcoin only future remains a long-term possibility, Tether is facing big challenges right now. MiCA regulations of the European Union have forced Tether out of key markets.
Ardoino also expressed concerns about central bank digital currencies (CBDCs) especially the digital euro of the European Union. He warns that these could lead to too much government control over financial transactions.
“If the ECB had full access to all citizen transactions with complete KYC, we would find ourselves in a dystopian world,” he said. He believes commercial banks act as a buffer between citizens and the state, preventing governments from having full financial control.
