in

Is Warren Buffett Right About Bitcoin? Investing Icon Bill Miller Says BTC May Be Rat Poison – For Cash

Is Warren Buffett Right About Bitcoin? Investing Icon Bill Miller Says BTC May Be Rat Poison – For Cash


Veteran value investor Bill Miller says Warren Buffett’s declaration that Bitcoin is rat poison could be right on the money.

In his market letter summarizing Q4 2020, the famed asset manager says the potential devaluation of the dollar could dramatically boost Bitcoin’s corporate adoption at the expense of cash.

“If inflation picks up, or even if it doesn’t, and more companies decide to diversify some small portion of their cash balances into bitcoin instead of cash, then the current relative trickle into Bitcoin would become a torrent. Warren Buffett famously called Bitcoin ‘rat poison.’ He may well be right. Bitcoin could be rat poison, and the rat could be cash.”

Miller adds that Bitcoin was the best performing asset category in 2020, giving it a bigger market capitalization than the largest bank in the US by assets, JPMorgan Chase, and Warren Buffett’s investing conglomerate, Berkshire Hathaway.

Miller says Bitcoin is entering the new year with substantial upside over gold and “many advantages over the yellow metal.”

Miller highlights big institutional bets on Bitcoin as a hedge against inflation as a signal that deep pocketed investors are noticing the asset’s upside potential.

He points to Square, MassMutual and MicroStrategy’s large Bitcoin purchases as well as PayPal and Square’s dominance over the newly mined supply of BTC as a big boost to the industry.

Miller made his first bet on Bitcoin in 2014. At the time, Miller allocated 1% of his net worth to the cryptocurrency when Bitcoin was roughly $900. It is currently up by nearly 4,000% from 2014 levels.

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Follow us on Twitter, Facebook and Telegram

Check Latest News Headlines

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/vfhnb12





Source link

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

GIPHY App Key not set. Please check settings

Loading…

0

What do you think?

Ripple Labs, XRP, XRPUSD, XRPBTC, cryptocurrency

Ripple’s XRP Swells 40% Despite Delisting Woes; Dead Cat Bounce?

Bitcoin briefly touches $28,000 as its market cap exceeds $500 billion.

Bitcoin briefly touches $38,000 as crypto market value surpasses over $1 trillion for the first time.