Chamath Palihapitiya Predicts Bitcoin Will Fall to Zero After Inevitable AI Hack

Billionaire investor Chamath Palihapitiya warned that Bitcoin will eventually be hacked and drop to zero, reversing his earlier price targets between $100,000 and $1 million. Speaking on the Moonshots podcast, Palihapitiya argued that advances in artificial intelligence and quantum computing could compromise Bitcoin's SHA-256 encryption and drain Satoshi Nakamoto's wallet. He contended that decentralized governance hurdles make upgrading to quantum-resistant cryptography nearly impossible, while ledger traceability prevents central bank adoption. Palihapitiya disclosed he no longer holds Bitcoin directly due to security risks, having shifted his exposure into equity through Digital Currency Group and Bitcoin ETFs.