With a constant pandemic of the coronavirus, inflation is collapsing worldwide. To insure against inflation risk, some billionaires buy Bitcoin (BTC).
Paul Tudor Jones, the billionaire founder of the hedge fund Tudor Investment Corporation, said Bitcoin is part of his portfolio.
“If I had to predict, my bet would be that it's Bitcoin.”
According to a Bloomberg report from May 7, Jones buys bitcoins to protect his investment against inflation caused by printing money from central banks. In a note on a market forecast called Big Money Inflation, billionaire investor mentioned Bitcoin to remind him of the role gold played in financial problems in the 1970s.
In a note, a 65-year-old investor identified Bitcoin as the best option in a profit maximization strategy. Jones said:
“The best strategy to maximize profits is to have the fastest horse […]. If I'm forced to predict, my bet will be Bitcoin. “
According to the report, Tudor BVI, a hedge fund managed by Tudor Investment Corporation, maintains a “low number one ratio” of its assets in bitcoin futures.
The ongoing crisis is Bitcoin's biggest test
Jones is not the first to talk about the potential of bitcoins in a crisis and inflation caused by coronavirus. In March 2020, BitMEX, a leading cryptocurrency exchange, announced that inflation caused by the collapse of the colon virus would be the biggest opportunity for Bitcoin since its inception in 2009.
Later, Bitcoin investor billionaire and bull Tim Draper outlined the important role of bitcoin in the context of the ongoing global financial crisis. On March 16, Draper announced that Bitcoin would save the day, not banks and government.
Meanwhile, the price of Bitcoin continues to rise pending an important milestone in history. On May 12, the largest cryptocurrency will face its third half, meaning that the number of bitcoins extracted every 10 minutes will drop from 12.5 to 6.25. At the time of publication, Bitcoin had earned $ 9,816 at the time of issue, gaining more than 11% in the last seven days. January 1, Bitcoin 2020 traded for around $ 7,200.