Peter Schiff Declares “Gold Is Money” as Price Hits Record $3,500, Sparking Debate

Gold Surges to All-Time High, Peter Schiff Calls It ‘Money’

Gold prices surged to an unprecedented $3,500 on April 22, triggering renewed commentary from longtime gold advocate and Bitcoin critic Peter Schiff. In a post on social media platform X, Schiff declared, “Gold is not just any commodity, it’s money,” positioning the metal as a monetary benchmark in a shifting economic landscape.

The statement sparked fierce debate among economists, crypto advocates, and investors, especially as Schiff linked gold’s recent gains to broader economic distress and the weakening of the US dollar.

Source: Peter Schiff

Schiff: Gold’s Rally Signals Decline of US Dollar

Schiff warned that the precious metal’s abnormal growth in recent weeks is a negative signal for the US economy and fiat currency markets.

“This is the end of the US dollar’s dominance,” he stated. “Life in America is about to change in ways few can imagine.”

Gold’s rally has been dramatic. Spot gold has climbed more than 31% year-to-date and over 44% in the past 12 months. Futures briefly topped $3,500 per ounce, with spot prices peaking at $3,498, according to TradingView data.

In contrast, the US Dollar Index (DXY), which measures the strength of the dollar against a basket of major currencies, has fallen more than 9% in 2025.

Spot gold (XAU) price chart since Jan. 1, 2025. Source: TradingView

Crypto Community Challenges Gold as ‘Money’

While Schiff’s comments were welcomed by precious metals enthusiasts, they drew skepticism from the cryptocurrency community, which pointed out that gold no longer serves as a practical medium of exchange—one of the core criteria for money.

"Gold is not used in daily transactions. Try paying with it at Starbucks,” one commenter quipped, echoing the sentiment of many crypto proponents.

Crypto investor Mike Alfred humorously posted:

“I shaved a bit off my gold bar at Starbucks this morning. They accepted it as payment. First time in a while.”

Another user chimed in:

“I paid for my haircut last week in Bitcoin. Merchants won’t accept gold because how do they test if it’s real?”

These responses highlighted gold’s limitations in modern commerce and reignited the longstanding debate between physical gold and digital assets like Bitcoin when it comes to their utility as money.

Gold vs. Bitcoin: A Renewed Narrative

As gold makes headlines for its historic rally, comparisons to Bitcoin—often referred to as “digital gold”—are once again in the spotlight. Proponents argue that Bitcoin is better suited for the digital age, offering verifiable scarcity, seamless transferability, and broader acceptance in online commerce.

ARK Invest CEO and prominent Bitcoin advocate Cathie Wood has previously stated that Bitcoin is a “much bigger idea than gold,” with the potential to capture a share of gold’s estimated $23 trillion market.

Still, some analysts caution against pitting the two assets against each other. While gold has a centuries-long history as a store of value, Bitcoin is increasingly recognized for its technological advantages and its evolving role as both an investment vehicle and a payment tool.

Conclusion

Peter Schiff’s assertion that “gold is money” has sparked a fresh wave of economic and philosophical debate at a time when traditional financial systems are being re-evaluated. As gold hits record highs and the US dollar weakens, the conversation around what truly constitutes money—whether physical or digital—has become more relevant than ever. Whether investors choose gold, Bitcoin, or a mix of both, the underlying message is clear: the era of monetary transformation is accelerating.