- On Wednesday, billionaire investor Paul Tudor Jones told that cryptocurrency is currently a superior inflation hedge than gold.
- “Clearly, cryptocurrency has a place. “It’s clearly winning the race against gold right now,” he said.
- “I’ve got crypto single digits in my portfolio,” Jones remarked, referring to his cryptocurrency holdings as a percentage of his overall portfolio.
On Wednesday, billionaire investor Paul Tudor Jones told CNBC that cryptocurrency is currently a superior inflation hedge than gold.
Jones, a bitcoin and cryptocurrency bull, also warned CNBC that rising inflation is a huge threat to the United States’ financial markets and the recovering Covid-hit economy.
“I’ve got crypto single digits in my portfolio,” Jones remarked, referring to his cryptocurrency holdings as a percentage of his overall portfolio.
Jones told CNBC in June that bitcoin is a fantastic method to secure his wealth in the long run, describing the world’s largest cryptocurrency as a gold-like store of value.
Here’s the full interview posted by CNBC on microblogging site.
BITCOIN AS A DIGITAL GOLD
Gold, as an inflation-hedging investment, would often rise in tandem with the rapid rise in consumer prices. In comparison to bitcoin’s 437 percent one-year gain, gold has lost 8% in the last year.
Bitcoin, often known as digital gold, was created as a payment system, yet its popularity as a means of exchange has been gradual due to the digital coin’s volatile nature.
Following Jones’ crypto remarks, bitcoin, which had been essentially flat earlier in the morning, went upward.
On Wednesday, it surpassed April’s high of $66,000 to set a new all-time high. Bitcoin struggled over the summer, momentarily falling below $30,000 before rebounding ahead of the launch of the first bitcoin-linked exchange-traded fund in the United States.
The ProShares Bitcoin Strategy ETF gained 4.8 percent in its first session on Tuesday and another 3% on Wednesday.
The ETF follows bitcoin futures, which are contracts that speculate on the price of bitcoin in the future rather than the current price.
Jones stated that he would rather buy bitcoin than the futures-linked ETF. However, he believes the ETF will do well and that investors can “take great confidence” in the fact that it has been approved by the Securities and Exchange Commission in the United States.
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