The veteran investor talked about inflation in the U.S. and said cryptocurrencies could have ” a bright future “depending on what the Fed does. He revealed that he still maintains his bitcoins .
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El multimillonario inversionista Paul Tudor Jones III reiteró este martes su postura favorable en torno a Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. and the new asset class.
In an interview for Squawk Box de CNBC, el reputed entrepreneur and hedge fund manager spoke about cryptocurrencies within the context of economic inflation in the United States. Jones, who has previously spoken out in favour of investing in Bitcoin He was expectant about the economic outlook and again expressed optimism for digital assets.
On inflation in the U.S.
In the 1970s, the U.S. experienced high inflation that first reached 5.5% and then gradually rose to 14.4%, Jones explained, recalling that a modest reversal of that rise began to be seen about 10 years later. By then, there were no assets with which investors could generate passive returns, he said, not even gold.
The investor drew a comparison with the current situation, pointing out that we may be facing another period when it is extremely difficult to make money in the traditional market. It should be noted that inflation in the U.S. has beenelevado por encima del 8% anual, la máxima en los últimos 40 años.
“ We are in one of those very difficult periods where simply the preservation of capital capital is most commonly defined as the large sum of money you would use to invest. is the most important thing we can fight for. I don’t know if it’s going to be one of those periods where you’re really trying to make money. “Jones said during the interview. The statement was picked up by U.Today .
In this context, he considered that traditional stocks and bonds are possibly the least suitable options to invest investing is when you put money in a financial scheme with the intent of making a gain. if you are looking to generate profits. Because of the situation, he believes that investors should strive to preserve their own capital. However, his stance on investing in cryptocurrencies was slightly more optimistic.
No Stocks or Bonds: Crypto to Tackle Inflation
The entrepreneur was quick to share his growth projection for the digital digital technologies are these electronic tools that have the ability to generate, store or even process data. currencies industry, a space he believes is attracting a lot of talent. “ It’s hard not to want to bet long a situation where you buy a cryptocurrency with the expectation of selling it at a higher price for profit later. on cryptocurrencies because of the intellectual capital that is entering that space “, he commented. The mediaCryptoBriefing lo citó:
If you look at the smartest and brightest minds coming out of universities today, many of them are going into cryptocurrencies. Many of them are entering Internet 3.0.
“It’s hard to not want to be long on #crypto because of the intellectual capital that’s going into that space,” says @ptj_official on #Bitcoin . “Right now I’m modestly invested and I would think that it’s going to have a bright future as we roll through these rate hikes.” pic.twitter.com/jVp7dq8L3y
— Squawk Box (@SquawkCNBC) May 3, 2022
Jones acknowledged that he sees a “ generation gap ” between older people and younger generations regarding cryptocurrencies and Web 3.0, suggesting that those tech-savvy are more likely to thrive in such a space. “ You and I are probably on the other side … We’re both struggling as fast as we can to figure it out. “, only they to your interlocutor and presenter of Squawk Box, Joe Kernen.
The billionaire added that the borderless quality of cryptocurrencies is “ very attractive “This is a characteristic that he believes is possibly what is causing governments and central banks to be averse to the idea that they are striving to “make the world a better place. slow down ” this sector.
Connecting to his assessment of the inflationary outlook, Jones spoke about the U.S. Federal Reserve’s (Fed) plans to raise interest rates, a move aimed at fighting inflation, and said that the Fed’s plans to raise interest rates will not be enough. (FED) to raise interest rates, a move aimed at combating inflation, and said that the Fed’s plans to raise interest rates are cryptocurrencies could have ” a bright future “ . Recall that the FED has been discussing interest rate hikes in the last few years. half a percentage point , el mayor aumento en 20 años.
We could easily be at 2.5% rates in September … The cost of owning cryptocurrencies, gold and other inflation a general increase in prices and fall in the purchasing value of money. hedges will become more significant; it will be interesting to see if that is enough to quell inflation. .
Tudor Jones still holds on to his bitcoins
Among his comments, Jones also admitted that he still has “ a modest allocation allocation is the allotment of equity or tokens that may be earned, bought, or reserved for a specific team, group, investor, institution, or another similar entity. ” in Bitcoin which could change change — a concept relevant to cryptocurrencies that use the UTXO model — is the number of coins sent back to a user after they use their unspent outputs to initiate a transaction. in the future. In 2020, the entrepreneur had first revealed for the first time a allocation of between 1 and 2% of its assets in Bitcoin . En ese momento, en medio del estallido de la pandemia de COVID-19, dijo que estaba comprando la criptomoneda para protegerse de un posible escenario de inflación, una postura que él ha reiterado desde entonces.
As you rememberCryptoBriefingJones is best known for his expertise in the traditional financial markets. He famously predicted the Black Monday crash of 1987, and his successful market an area or arena, online or offline, in which commercial dealings are conducted. calls have generated him a net worth of around $7 billion. He was also one of the first Wall Street veterans to publicly acknowledge the potential of Bitcoin during the first wave of coronaviruses and in the midst of the Federal Reserve’s unprecedented money printing in response to the crisis.
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Article by Hannah Estefania Perez / DiarioBitcoin
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