Billionaire investor Stanley Druckenmiller believes that blockchain and stablecoins could power the global payments system within the next decade, though he remains skeptical about crypto serving as a store of value.
In an interview with Morgan Stanley recorded on January 30 and released Friday, Druckenmiller highlighted the productivity benefits of blockchain-based tokens, particularly stablecoins:
“Blockchain and the use of stablecoins—if you want to call it crypto—are incredibly useful in terms of productivity,” he said.
He added, “I expect our entire payment systems will run on stablecoins in 10 to 15 years,” noting that stablecoins offer faster, cheaper, and more efficient alternatives to current payment solutions.
Billionaire Stanley Druckenmiller founded Duquesne Capital Management in 1981 and ran it until its closure in late 2010. During that period, he achieved an average annual return of 30% and never recorded a down year.
Druckenmiller previously suggested that blockchain-based systems could eventually replace the U.S. dollar’s payment rails due to waning trust in the traditional banking system. In May 2021, he told CNBC’s Squawk Box:
“Well, the problem has been clearly identified. It’s Jerome Powell and the rest of the world, central bankers. There’s a lack of trust.”
In response, several traditional payments firms—including Western Union, MoneyGram, and Zelle—announced plans last year to launch stablecoin settlement systems, following the passage of the GENIUS Act in July, which established a clear regulatory framework for digital asset services.
Druckenmiller skeptical of crypto as a store of value
Despite his confidence in blockchain and stablecoins, Druckenmiller remains unconvinced that cryptocurrencies like Bitcoin ($71,286) serve as a reliable store of value. He told Morgan Stanley:
“It’s a solution looking for a problem. I’m very sad that it ever happened. It wasn’t needed. But crypto has become a brand that some people love, so it will function as a store of value to them.”
Back in October 2023, Druckenmiller compared Bitcoin to gold, emphasizing his preference for the latter because it is a “5,000-year-old brand.” He added that he currently doesn’t own any Bitcoin, though he acknowledged that he probably should.
