Bitcoin and the US dollar have a ’symbiotic‘ relationship: BPI exec
Demand for either currency strengthens both in a reinforcing relationship, contrary to popular sentiment, Sam Lyman told Cointelegraph.
US dollar-pegged stablecoins and Bitcoin (BTC) share a “symbiotic” relationship, mutually benefitting from rising adoption, according to Sam Lyman, head of research at Bitcoin Policy Institute (BPI), a Washington DC-based digital asset advocacy organization.
“Bitcoin is beneficial to the US system because the largest Bitcoin trading pair is BTC/USD,” or Tether’s USDt (USDT) stablecoin, which is backed by cash deposits and short-term US government debt, Lyman told Cointelegraph. He added:
He said Bitcoin and dollar-pegged stablecoins share a similar relationship to the dollar and oil. Under the petrodollar system, which began in the early 1970s, international oil sales are priced in dollars, driving more demand for the currency.
