In a recent in-depth interview Peter Schiff, a well-known economist and gold advocate, revealed mounting concerns regarding the stability of the U.S. dollar, saying there’s “going to be a massive crisis,” that will send “the economy into a tailspin.”

The interview, with David Rodriguez, saw Schiff address the growing debt of the U.S. government and its expanding annual deficits, and forecast a troubling future for its fiat currency as a result.

Schiff suggested investors should be escaping the U.S. dollar as there’s “gonna be a deluge before too long where it’s a rush to get out of the dollar.” The U.S. national debt has now ballooned to over $33 trillion, and to Schiff the repercurssions of this are soon going to be manifested as the interest on it becomes the leading government expenditure.

Schiff added that by net year “the interest on the debt is going to be the biggest expense the government has … Eventually, it will be the only expense we have. If this continues, there won’t be any money left over for anything but interest and, obviously, we can’t get to that point.”

The economist added he believes a “massive crisis” is on the horizon. He also noted several countries have started adopting other national currencies in international trade, which could further diminish the power of the U.S. dollar. Per his words, the dollar being weaponized to freeze Russia’s assets after it launched its invasion of Ukraine was a “huge wakeup call to every nation in the world.” Schiff said:

It sent a message. ‘Get out of the dollar! Otherwise, you’re in a very vulnerable position because the US could punish you for using the dollar.’

Schiff suggested the dollar could collapse through a snowball effect, as interest rates have “helped prop up the dollar,” and as a result creditors aren’t rushing to drop the fiat currency, but could after its value drops significantly from current levels.

As CryptoGlobe reported, cryptocurrency markets face a seemingly more urgent tremor, as an  analytics firm has recently suggested that a potential $3 billion sell-off is looming, rooted in the potential liquidations of FTX’s massive cryptocurrency stack to repay creditors.

If such a crisis does come, some analysts have suggested gold could be a safe haven. Earlier this month Carley Garner, co-founder of brokerage firm DeCarley Trading, said that gold has been holding critical support levels and is now in a position to move into new all-time highs, at a time in which the U.S. dollar is losing momentum.

Featured image via Unsplash.