A heated debate took place during Binance Blockchain Week in Dubai on December 4, 2025, opposing gold advocate Peter Schiff and Binance CEO Changpeng Zhao (CZ) on the future of currency.
The discussion focused on the question of who, between Bitcoin and tokenized gold, is the best as a store of value, medium of exchange, and unit of account in the current financial ecosystem.
Peter Schiff criticizes Bitcoin live
The conversation quickly heated up when Peter Schiff, a staunch advocate of gold, questioned the practical utility of Bitcoin for payments.
"Payments in Bitcoin are not really payments," he said. "They are just liquidated bets."
Schiff argued that most users who transact with Bitcoin do not actually spend the cryptocurrency itself. In reality, they sell their BTC for fiat currencies to pay merchants, making each transaction essentially speculative on the future price of the asset.
In response, CZ emphasized that from the user's perspective, Bitcoin can function smoothly for payments.
Using crypto cards as an example, he explained that the user swipes their card, Bitcoin is deducted, and the merchant receives their chosen currency.
This aligns with a recent BeInCrypto report highlighting crypto cards as a promising trend for 2026.
CZ argued that intermediaries manage the conversion, simplifying the process for both parties. He also pointed out that the same system could be applied to gold or other assets, but that the digital nature of Bitcoin and its growing adoption offer unique advantages.
The speculative nature of Bitcoin
The debate then shifted to the speculative nature of Bitcoin. Schiff argued that the value of Bitcoin is purely determined by what the next buyer is willing to pay, unlike stocks or businesses that generate tangible revenues and dividends.
"When people buy Bitcoins, they think they become rich," said Schiff. "It's a lottery ticket, not a store of value."
CZ, founder and former CEO of Binance, responded this time that Bitcoin has proven itself as a long-term asset, attracting developers, investors, and institutions, and that speculation is just one aspect of its entire ecosystem.
The two speakers also discussed the concept of tokenized gold and the possibility for merchants to accept it in the future.
Schiff suggested that during periods of high inflation, merchants might prefer to receive payments in gold, thus preserving real purchasing power. CZ acknowledged this point but noted that Bitcoin can actually offer similar functions through tokenization and instant verification.
The debate highlighted fundamental philosophical differences:
Schiff favors assets with intrinsic support, such as gold, which he believes offers stability and security.
CZ advocates for digital assets, emphasizing convenience, liquidity, and technological innovation.
Thus, while Schiff criticized Bitcoin's lack of revenue generation, CZ focused on the growing ecosystem of its applications and its adoption in payments, trading, and financial infrastructure.
Participants at the Binance Blockchain Week described the exchange as tense yet interesting, offering a rare glimpse into the clash between advocates of traditional finance and pioneers of crypto.
"I believe in digital assets, but Peter Schiff made very convincing arguments," noted an observer.
The debate highlighted a growing trend in finance: the tension between digital currencies and physical assets, and how each can be used to hedge against volatility, inflation, and market speculation.
As Bitcoin and tokenized gold continue to attract attention from retail users, merchants, and institutional investors, the debate between CZ and Schiff shows that the discussion is far from settled.
The question of whether Bitcoin can evolve beyond speculation to become a true medium of exchange remains central to the future of currency.
At the time of writing this article, Bitcoin was trading at $92,669, down more than 2% from its opening price of $94,591 in 2025. Meanwhile, gold was traded at $4,187, up more than 57% from its opening price of $2,657 in 2025.
The moral of the story: gold and Bitcoin are like water and oil.
