In the past, anti-crypto investors increasingly turned to Bitcoin and its brothers to hedge against inflation worries in fiat currencies.
One example is Hungarian-born billionaire Thomas Peterffy, who said in a Jan. 1 Bloomberg report that it would be wise to keep 2-3% of your portfolio in crypto assets just in case Fiat “goes to the Hell goes ”. He is allegedly Worth $ 25 billion.
Peterffy’s firm Interactive Brokers Group Inc. announced that it would offer crypto trading to its customers Mid-2020 due to the increased demand for the asset class. The company currently offers Bitcoin, Ethereum, Litecoin, and Bitcoin Cash, but will be adding another 5-10 coins this month.
Peterffy, who owns an unknown amount of crypto himself, said it was possible that digital assets could generate “extraordinary returns” even if some could go to zero as well, according to Bloomberg. “I think it can go to zero and I think it can go to a million dollars,” he added before saying, “I have no idea.”
In early December, the billionaire predicted that Bitcoin could soar to $ 100,000 before markets decline.
Related: Tom Peterffy believes Bitcoin could be destroyed before it crashes
Bridgewater Associates founder Ray Dalio is another renowned billionaire who revealed last year that his portfolio included some Bitcoin and Ethereum. That reveal came just months after he questioned the properties of crypto as a store of value.
He has now changed that stance and sees crypto asset investing as “alternative money” in a world where “cash trash” is and inflation is undermining purchasing power.
In late December, Dalio commented that he impressed how crypto has lasted for so longbefore he says, “Cash, which most investors think is the safest investment, is the worst investment in my opinion.”
Also the billionaire hedge fund manager Paul Tudor Jones Bought bitcoin last yearwhat calls the move as an inflation hedge.
Pandemic-induced economic stimulus packages have led to economic turmoil around the world, the consequences of which could last for decades. In the United States, inflation is a 4-decade high at 6.8%. This has to be one Rise in the consumer price index (CPI), as the cost of everyday goods continues to rise.
The billionaires are already seeing the dangers of fiat currencies and central bank tampering and are increasingly turning to crypto assets. More wealthy investors could join their ranks in 2022 if the trend continues.
