Elon Musk warns of hyperinflation

Elon Musk, the renowned technologist and futurist, predicts that the dollar will soon be worth next to nothing.

Musk knows

The CEO of Tesla granted an interview to the media outlet The Babylon Bee. The journalists started the debate by presenting him with an “IOU” (I Own You) worth 44 billion dollars.

An IOU is a debt acknowledgment. The money you have in your bank account, for example, can be considered an IOU. The bank owes you that money, but you may never see it again in the event of default.

Receiving this IOU written on a napkin, Elon Musk stated:

“Pretty soon, $44 billion won’t be worth that much anyway.”

Why does Elon Musk say such a thing? Because he is well aware that we are approaching peak oil. It’s no coincidence that his empire revolves around electric cars and trucks.

Today, nearly 75% of oil is used for transportation, and 95% of transportation relies on oil. Trucks are the backbone of the economy. Less oil will inevitably lead to less growth and thus the inability to repay debts.

This will inevitably result in inflation. It’s worth noting that inflation exceeding 100% over one or two years is considered hyperinflation. This is already the case in countries like Argentina or Turkey.

Considering the trajectory of US debt and the global opposition to the dollar’s hegemony, E. Musk is right to be concerned about the future of the greenback. Don’t miss these two articles to convince yourself:

• Why so much debt?
• Why so much inflation?

To conclude, let’s remember that Tesla holds 10,500 BTC…