Arthur Hayes, former CEO of the BitMEX exchange, known for his provocative remarks about cryptocurrencies, declaredthat artificial intelligence (AI) will choose bitcoin as its currency because it has unique advantages over other types of money.
In his blog, Hayes provides a number of arguments in favor of his hypothesis. He argues that AI that is not human and does not understand human laws will look for a digital payment system with clear and transparent rules that apply regardless of who makes transactions or what the network pays for. Such a system should be resistant to censorship and not subject to arbitrary interference.
Hayes believes that only bitcoin meets these requirements because it runs on a public blockchain network where the rules are enshrined in code that is clear and transparent. Additionally, Bitcoin has a provably limited supply (21 million coins), making it scarce and inflation-proof. Its value also depends on the cost of electricity, which is the main resource for AI.
Hayes argues that AI will not trust other types of money, such as fiat currencies or gold, as they require the management of human institutions, which are error-prone and can change the rules of the game at will. He also notes that gold has a potentially infinite universe-wide supply, and fiat currencies can be created out of thin air at zero cost.
Thus, Hayes concludes that bitcoin is the logical choice of currency for any artificial intelligence, as it is purely digital, censorship resistant, provably scarce, and has intrinsic value. He also cites calculations that over the next decade, the progress of the AI industry could push the price of bitcoin up to $760,000 over the next decade.
Arthur Hayes is an American entrepreneur, co-founder and former director of the BitMEX cryptocurrency exchange, which specializes in trading derivatives for bitcoin and other cryptocurrencies. He was born in 1985 in Detroit, Michigan and received a bachelor’s degree in economics and finance from the Wharton School of Business. In 2008, he moved to Hong Kong where he worked as a synthetic stock and ETF trader for Deutsche Bank and CitiGroup. In 2014, he founded BitMEX with Ben Delo and Samuel Reed. In 2022, he was charged with violating the US Bank Secrecy Act and sentenced to six months of house arrest, two years of probation, and a $10 million fine. He is currently writing essays on cryptocurrencies, the economy and the future of artificial intelligence on his blog.
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