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The debate over whether Bitcoin’s hashing algorithm can be hacked continues to evolve. This time, billionaire investor <a href="https://zycrypto.com/tag/chamath-palihapitiya/" rel="noopener noreferrer nofollow">Chamath Palihapitiya</a> revealed that AI will eventually hack the Bitcoin network. In an interview shared today, the renowned tech investor and the founder and CEO of Social Capital claimed that AI will, in the long run, crack <a href="https://zycrypto.com/bitcoin-is-now-stock-market-puppet-bloomberg-strategist-warns-as-whales-refuse-to-back-down/" rel="noopener noreferrer nofollow">Bitcoin</a> and trigger a massive price plunge.
<h2 id="h-btc-can-fall-to-zero-after-infiltration-nbsp-nbsp" class="wp-block-heading">BTC can fall to zero after infiltration&nbsp;&nbsp;</h2>
In the podcast, <a href="https://x.com/LarkDavis/status/2113208747518828734" rel="noopener noreferrer nofollow">Chamath Palihapitiya</a> is convinced that a future AI hack could eventually infiltrate Bitcoin and send its value to zero. In the interview, the CEO identified privacy exposure and AI-enabled hacking as risks facing traditional cryptocurrencies, including Bitcoin.
Regarding privacy exposure, he mentioned leaked crypto data security, which led to home invasions and kidnappings of crypto entrepreneurs and prominent investors in France.
In the case of <a href="https://x.com/IAMSTACKMASTER/status/2113114470407147901" rel="noopener noreferrer nofollow">AI-enabled hacking</a>, Palihapitiya said rising self-improving AI models could eventually manipulate Bitcoin’s hash algorithm (SHA-256 security) and possibly infiltrate Satoshi Nakamoto’s wallets.
He illustrated that an attacker could profit twice from the same exploit: first by drawing funds from the wallets. Second, by shorting Bitcoin after publicly exposing the hacking incident, illustrating how Bitcoin can plummet to zero.
According to the executive, Bitcoin is capped, and he believes that AI can hack its encryption and unlock blockchain wallets whose public keys are often protected by math.
His statement revealed how AI has put powerful hacking tools into the hands of many people, including attackers. He called the migration to quantum-resistant cryptography impossible because the Bitcoin community’s attention is divided.&nbsp;&nbsp;
<h2 id="h-he-says-he-buys-bitcoin-through-etfs" class="wp-block-heading">He says he buys Bitcoin through ETFs</h2>
Palihapitiya said he no longer holds Bitcoin directly because of potential security concerns. The CEO said he gets exposure to Bitcoin through the equity market to avoid storage and security risks.
He sees Bitcoin as democratized today through Bitcoin ETF funds, which let investors buy BTC easily, like buying ordinary stocks. According to him, these ETFs are a milestone, helping BTC reach a mainstream audience, as they no longer need to worry about digital wallets or sophisticated security keys.

Billionaire Investor Chamath Palihapitiya Says Bitcoin Will Eventually Be Hacked by AI and Go to Zero

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