Bitcoin as Beneficiary of the AI Revolution: Why US Central Bankers Are Ignoring Volatility and Hedge Funds Are Massively Increasing Positions

Bitcoin as Beneficiary of the AI Revolution: Why US Central Bankers Are Ignoring Volatility and Hedge Funds Are Massively Increasing Positions

While the crypto community awaits regulatory clarity from Washington with bated breath, a remarkable divergence is emerging: On one hand, the US Federal Reserve is showing increasing composure toward Bitcoin volatility and classifying the cryptocurrency as decoupled from the traditional financial system. On the other hand, experienced investors see Bitcoin as one of the big winners of the AI revolution – despite or precisely because of the current price weakness. These seemingly contradictory signals could indicate a fundamental revaluation of Bitcoin as an asset in an economy transformed by artificial intelligence.

The combination of institutional calm and aggressive accumulation by professional investors raises the question of whether the market is currently offering a historic opportunity – or whether regulatory uncertainty is preventing a sustainable recovery.

The Facts

Christopher J. Waller, Governor of the US Federal Reserve, has expressed a surprisingly relaxed view on Bitcoin and crypto markets. At an event hosted by the Global Interdependence Center, Waller argued that digital assets remain largely decoupled from the traditional financial system, even as the underlying technology increasingly enters the mainstream ^[2]. His central message: "These things are pretty detached from the traditional financial world. You can have these big crashes and move volume. The rest of us wake up and we're fine the next day" ^[2].

Waller emphasized that he does not monitor crypto markets as part of his daily responsibilities at the central bank, as the sector still stands outside the core of the financial system ^[2]. He put Bitcoin's characteristic volatility into historical context: prices that were once considered extraordinary are now treated as routine. "Eight years ago, you would have said, if Bitcoin is at $10,000, oh my God, that's crazy" ^[2]. His assessment of blockchain technology itself was pragmatic: "These are simply technologies. There's nothing dangerous about them. There's nothing to be afraid of" ^[2].

A completely different perspective comes from hedge fund manager Jordi Visser, who sees Bitcoin as a long-term beneficiary of the AI revolution. In conversation with podcaster Anthony Pompliano, Visser explained that he has "bought more Bitcoin in the last two months than ever before in my life" because he is convinced of an impending short squeeze ^[1]. His provocative thesis: "When it happens next time that the BTC price rises above $100,000, it won't reverse anymore" ^[1]. No one can predict the exact timing of this breakout, but Visser doesn't want to "chase it when it's at $300,000" ^[1].

Visser sees Bitcoin as a unique asset in a productivity era exploding through AI due to its absolute scarcity. The decisive advantage over gold, silver, or tech stocks: there are only 21 million BTC, of which 95.1 percent are already in circulation ^[1]. Precisely those software-based business models that performed strongly in recent years could come under pressure. As a cautionary example, Visser cites OpenAI: "They had a huge head start. Normally you win when you have such a lead and have secured brand recognition. They lost it in less than a year" ^[1].

The market situation currently presents itself as volatile: Bitcoin is trading at around $69,100 after dropping to $60,000 and is down nearly 30 percent year-to-date ^[1]. Meanwhile, gold and silver have posted spectacular rallies, with gains of 74 percent and 161 percent respectively ^[1]. Fed Governor Waller simultaneously pointed to the biggest regulatory problem: lack of clarity. The expected legislation from Congress appears to have stalled, which in his assessment has contributed to a waning of market euphoria ^[2].

Analysis & Context

Waller's statements are remarkable because they signal a paradigm shift in the perception of Bitcoin by traditional financial institutions. Just a few years ago, warnings about systemic risks from cryptocurrencies dominated central banking circles. Waller's assessment that Bitcoin crashes do not endanger the traditional financial system is an implicit acknowledgment of the resilience of both systems – and could create regulatory leeway for further institutional adoption.

The Visser thesis of Bitcoin as an AI beneficiary deserves special attention. Historically, technological revolutions have indeed often led to a revaluation of scarce resources. During the industrial revolution, prices for land and energy rose dramatically. In an AI-dominated economy where software becomes infinitely reproducible, absolute digital scarcity – as only Bitcoin offers – could represent a fundamental anchor of value. The current price weakness despite a "pro-crypto president" may seem disappointing, but corresponds to historical patterns: significant Bitcoin rallies typically followed phases of capitulation and regulatory uncertainty.

The absence of regulatory clarity from the US Congress is a double-edged sword. In the short term, it dampens institutional investment willingness and explains the relative weakness compared to gold and silver. In the medium term, however, the delay could lead to more robust regulations that establish Bitcoin as a standalone asset class rather than forcing it into inappropriate categories. Waller's pragmatic stance suggests that the Fed does not intend to take aggressive measures against Bitcoin – a form of acceptance through non-interference that could be more important in the long run than explicit support.

Conclusion

• A Fed Governor explicitly classifies Bitcoin for the first time as decoupled from the traditional financial system and thus systemically insignificant – a paradigm shift that could provide institutional investors with regulatory certainty

• Experienced investors like hedge fund manager Jordi Visser are aggressively accumulating Bitcoin because they see the cryptocurrency as the only truly scarce asset in an AI-shaped economy where software business models are coming under pressure

• The absence of regulatory clarity from the US Congress is dampening price development in the short term, but could lead to more robust regulations in the medium term that establish Bitcoin as a standalone asset class

• The current weakness alongside strength in gold and silver follows historical patterns in which traditional safe havens are initially preferred during periods of uncertainty before digital assets follow

• Bitcoin's absolute scarcity – only 21 million units, 95.1 percent already in circulation – fundamentally distinguishes the cryptocurrency from all other assets and could become the decisive value factor in a productivity explosion through AI