Elon Musk backer Tim Draper says Bitcoin will rule retail — dollar’s days may be numbered, he warns

Billionaire venture capitalist Tim Draper, who invested in Tesla and SpaceX when they were just starting out, is ringing the alarm on the future of the US dollar and putting his bet on Bitcoin to become even more dominant compared to the US dollar, as per a report.

Tim Draper's Prediction About Bitcoin

The fund manager warned in a social media X (previously Twitter) post, "The dollar is going extinct," adding, "People will rush to spend it as it loses value. Retailers will soon prefer Bitcoin. And when they do, that’s when people will start spending Bitcoin," as per his X post.


Draper has been an outspoken Bitcoin supporter for a long time and has invested in some of the biggest crypto players, including Coinbase and Robinhood, according to The Street. His recent comments are based on an increasing conviction among crypto believers that Bitcoin is safer than the US dollar.

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US Dollar Under Pressure

While his warning may sound too dramatic, it comes at a time when the US dollar index (DXY), which measures the value of the dollar relative to a basket of foreign currencies, was at 98.69 as of June 3, reported The Street.

According to the report, the index has been facing trouble staying above the 100 level since US president Donald Trump started the tariff war on April 2.

Bitcoin Surges

While, Bitcoin reached its all time high price of $111,970.17 on May 22, even though the coin suffered due to the tariff war, as per The Street. According to Kraken's price feed data, Bitcoin was trading at $104,363.12 as of June 3, reported The Street.

Draper also wrote in response to a comment on X, "It is the dollar that is volatile as it slowly becomes worth less and less. One bitcoin is worth one bitcoin. The dollar drops about 50% per year or more against bitcoin," as per his X post.

FAQs

What’s happening to the US Dollar Index (DXY)?
It has dropped to 98.69 and has been struggling to stay above 100 since April 2 due to trade tensions.

Has Draper invested in Bitcoin-related companies?
Yes, he has invested in Coinbase, Robinhood, and other major crypto platforms, as per The Street.