Thomas Peterffy, an American billionaire, has changed his mind about cryptocurrency.

Peterffy, who previously stated that investors should consider keeping 2% to 3% of their money in crypto to hedge against fiat currencies, suddenly has little faith in crypto.

In a recent Forbes interview, Peterffy stated that bitcoin has a very high chance of becoming worthless or being outlawed.

The American businessman believes the US government may seek to outlaw cryptocurrency due to concerns about digital assets being used for illegal purposes.

He also cited the United States Treasury Department's inability to "control or keep track of payments and collect taxes" as a reason for bitcoin's legalization.

Peterffy remains optimistic that Bitcoin will become extremely valuable.

However, Peterffy has not written off cryptocurrencies entirely.

The American businessman is still holding some Bitcoin and intends to buy more if it reaches $12,000.