Johnson's Bitcoin Blast: Former UK PM Labels Crypto a 'Giant Ponzi Scheme'

Former UK Prime Minister Boris Johnson has sparked controversy in the crypto community by calling Bitcoin (BTC) a 'giant Ponzi scheme' in his Daily Mail column. The publication of this statement coincided with the Bitcoin network mining its 20 millionth coin, a milestone that drew renewed attention to the asset's hard-coded 21 million supply cap.

In his column, Johnson argued that Bitcoin depends on a constant flow of new and often inexperienced buyers rather than any intrinsic value. He grounded this argument in a personal anecdote about an Oxfordshire villager who lost £20,000 (~$26,450) after investing £500 (~$661) in Bitcoin.

Johnson's characterization was swiftly rejected by Strategy chairman Michael Saylor, Tether (USDT) CEO Paolo Ardoino, and Blockstream CEO Adam Back. Saylor argued that Bitcoin does not meet the structural definition of a Ponzi scheme because it has no issuer, promoter, or guaranteed return.