Peter Schiff is known for making bold and controversial calls about the markets. Yet in a recent interview with CNBC's "Futures Now," his alarmist rhetoric had trader Scott Nations crying foul.

In the heated showdown, the NationsShares president interrupted Schiff as he defended his past predictions about the Federal Reserve, and said the U.S. economy has "been in a recession for this entire recovery." Schiff is a relentless critic of Fed policy, and for years has suggested the U.S. dollar was on the verge of an outright crash, encouraging investors to buy bullion.

"You can't have your own facts!" said Nations on CNBC last week. "You said in 2015 the Fed wouldn't raise rates and that QE4 was next," Nations said, referring to a fourth round of massive quantitative easing by the Fed. He added that Schiff has been "fundamentally wrong."

Schiff has long maintained that the Fed cannot continue to raise interest rates without sparking a major market crash, and urged investors to instead buy gold. That made Nations accuse him of trying to "scare" investors into buying the commodity for his own benefits.

"I recommend what I think is going to make investors money. Gold is outperforming the U.S. stock market this year by triple," the Euro Pacific Capital CEO responded. "Buying gold and having gold in your portfolio has been a wise choice for investors."

In 2013 Schiff notoriously called for gold to hit $5,000 per ounce, a prediction that hasn't quite panned out with gold only trading near $1,300.

Nevertheless, Schiff reiterated his faith in his market predictions, especially his call that the economic outlook is problematic.

"Even [former Fed chairman] Alan Greenspan is forecasting stagflation, and he ought to know because he wrote the playbook that Ben Bernanke and Janet Yellen are following," said Schiff.

"You can make fun of me, you can tell all the jokes you want, but I'm going to be laughing all the way to the bank," he retorted to end the debate.