George Gilder explains what Bitcoin is, and how he became interested in the currency after studying gold. Now he’s working a book about bitcoin and how this new technology will change everything we know about money.
We’re back at Freedom Fest and with me now is George Gilder. He’s the chairman of the George Gilder fund management he’s the author of wealth and poverty and his most recent knowledge and power George good to good to have you on our show great to be here now George I know you recently wrote an article on Forbes where you were saying how entrepreneurship is is key to having new innovations in America let’s talk a bout how Bitcoin fits into that well bitcoin is the new generation on the Internet it represents a major step forward in information theory and information theory is the underlying set of concepts that made possible the computer industry the telecom industry and the Internet itself coin is an internet based financial infrastructure I sense your passion for Bitcoin George but what is needed for to to really make an impact on the US economy venture capital represents about 21% of GDP in the United States the venture companies supported by venture capital produced 21% of our GDP and the venture community is massively committed to Bitcoin and making Bitcoin the new digital infrastructure for the Internet. Let’s talk about Bitcoin and gold because how do how can both coexist well I’ve in my book I show that the rise of Bitcoin today parallels the rise of gold at the beginning of the 18th century when Isaac Newton was the great hacker of gold and he launched the gold standard in Britain along with new physics. Bitcoin today is a new form of information theory which is the major system of the world today that underlies our entire digital economy you think bitcoins the new goldI think bitcoins the new gold it works with goldI think the prices of Bitcoin and gold will reach a stable relationship I find that people I meet there are big fans of Bitcoin see gold as an archaic investment today
How do you feel about that? I you know the gold is is the fundamental on a Terry metal and today betting on the failure the various current controlled fired currencies of the world is a good bet and so I don’t. Bitcoin hasn’t transformed the global system yet and until it does Gold is the monetary metal which retains its value best the problem is bitcoins not physical right a bitcoin is not physical but but like like gold it’s based essentially in the irreversible passage of time.
George thanks for your thoughts today thank you so much and thanks for watching our coverage here at FreedomFest we’ll have more for you in the meantime you can email us at news feedback at koco.com thanks for watching.