Ex-Coinbase CTO Burns $1M Bitcoin: “They’re Printing Trillions.”

Former Coinbase CTO pulls out of $1 million to prove the global economy is breaking.

3D printer printing Bitcoins out of a magic box splashed with pink paint.
Created by Kornelija Poderskytė from DailyCoin
  • Coinbase ex-CTO made a $1 million bet. 
  • Balaji Srinivasan later pulled out of the bet to prove a point. 
  • Srinivasan says there’s something wrong with the US economy. 

Ever had to lose a bet to prove a point? Well, Coinbase’s Former CTO Balaji Srinivasan has, and he says it was to show that the US economy is failing

Balaji firmly believed that the global economy is on the edge of a rapid shift, where Bitcoin would have assumed its highly sought-after $1 million valuation. 


However, with Bitcoin struggling to break through its resistance, that idea may seem far off for Srinivasan, who now has a big point to prove with $1 million less. 

Something Is Wrong

Balaji Srinivasan made a bet with Twitter pundit James Medlock that Bitcoin would reach $1 million in 90 days. He buttressed that the world would soon significantly change, and we would see the rapid adoption of Bitcoin. 

However, Balaji pulled out of the bet early on May 2nd, saying he closed it with “mutual agreement.” The former Coinbase executive donated $500,000 each to the charity organization Give Directly, Bitcoin Core developers, and James Medlock. 

His reason? There’s something wrong with the economy, and he believes in the public good. 


Balaji shared

“So I spent my own money to send a provably costly signal that there’s something wrong with the economy, and that it's not going to be a "soft landing" like Powell promises — but something much worse.” 

In a Twitter video, Balaji later explains his reason: “I burned a million to tell you they’re printing trillions.” 

They’re Printing Trillions

In the video, Balaji insists that there’s something wrong with the American economy and will soon enter hyperinflation. He cites the Silicon Valley Bank collapse, Covid-19, Former Federal Reserve Chairman Ben Bernanke, Ukraine Crisis, De-Dollarization, and the USSR collapse to support his views. 

Balaji adds that many things are falling apart, such as banks, commercial real estate, bonds, the debt ceiling, and more. He warns that things could unwind quickly, and assets once considered safe havens would fail to be so in the future, except for Bitcoin, which he believes in hitting a market cap of $19 trillion. 

However, Bitcoin has to skyrocket by over 3000% to achieve that. Currently, it’s trading at $28,246, according to CoinMarketCap. The digital asset has yet to break through its all-time high of $69,044, set in November 2021. 

On the Flipside

  • Crypto entrepreneur David Gokhshtein shared he’d delete his Twitter account if Balaji Srinivasan’s prediction of Bitcoin hitting the $1 million mark in 90 days comes true.

Why You Should Care

A global economic crisis is daunting because it could affect billions worldwide. With banks crashing and the US government raising its debt ceiling, Balaji Srivasan’s public demonstration could have raised the alarm at the right time to prepare people to protect themselves from imminent financial danger. 


Can Coinbase be trusted?

Headquartered in California, United States, Coinbase is one of the world’s largest and most reputable cryptocurrency exchanges. Coinbase prioritizes users’ safety by setting up necessary security measures and ensuring the exchange complies with US laws.

Is Coinbase legit and safe?

Coinbase is a relatively safe and secure cryptocurrency exchange. It employs strong security measures to protect users, such as AES-256 encryption, 2FA, storing users’ funds in cold wallets, and more. It also secures users’ funds on FDIC-secured accounts, enabling them to trade crypto via their bank accounts.

Will Coinbase refund if scammed?

No, Coinbase doesn’t refund users if they’re scammed. Therefore, it’s highly advised to perform due diligence, set up preventive measures, and do your own research.

Is Coinbase reporting to the IRS?

Yes, Coinbase reports to the IRS with form 1099-MISC, also known as miscellaneous income, for users who operate within US borders and earn over $600 from crypto rewards or staking in the fiscal year. However, it’s important to note that Coinbase does not report capital gains or losses as it is the users’ duty. Coinbases sends two copies of the tax form: one to the users and another to the IRS. Therefore, if you’ve received a tax form from Coinbase, so has the IRS.

Read what Charles Hoskin has to say about not contributing anything to Ethereum

Cardano Founder Charles Hoskinson Responds to Jab by Ethereum Co-Founder

Read how Bitcoin and other assets performed amid the banking crisis:

Bitcoin Breaks $28K as Ethereum Eyes $2K Amid Banking Crisis 

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Insha Zia

Insha Zia is a senior journalist at DailyCoin covering crypto developments, especially in the Cardano ecosystem. With a Bachelor of Science in Computer Systems Engineering, he delivers high-quality articles with his technical background and expertise in data analysis and programming languages, aiming to educate and inform readers accurately, transparently, and engagingly. Insha believes education can drive mass adoption of the crypto space, and he is committed to giving DailyCoin readers a better understanding of the technology.