Tudor BVI hedge fund manager Paul Tudor Jones called bitcoin a more effective inflation hedge than gold, but raised concerns about unsustainable mining.
In an interview with CNBC, Paul Tudor Jones said that he prefers cryptocurrencies over traditional assets like gold. He believes that cryptocurrencies have taken a solid position in the digital world, and now bitcoin is “winning the race against gold.” The billionaire called Bitcoin a good way to hedge inflation, which has become the most dangerous threat to financial markets, which have also been negatively affected by the pandemic.
“I have some bitcoin. This allows you to stay on the defensive and diversify your investment portfolio to preserve capital, ”Jones said.
Jones has always advocated diversifying investments with cryptocurrencies. A few months ago, he announced his readiness to invest about 5% of his capital in bitcoin. However, a hedge fund manager expressed concerns about the carbon footprint that remains with Bitcoin mining. Jones joked that if he became the king of the world, he would ban Bitcoin mining just because of its negative environmental impact.
The impending economic crisis and rising inflation are not just Jones’s concerns. Recently, US Senator Cynthia Lummis said that Bitcoin could be a salvation for US citizens if the state goes bankrupt.
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