An Airbnb and Uber investor who’s been investing in Bitcoin since 2009 claims that “everybody should put something into crypto.”
Independent investor Jeffrey Wernick has criticized the financial system, claiming that Bitcoin is now the only way for ordinary citizens to accumulate capital. He argues:
“Given the fact that the capital markets are overvalued because they’re subsidized by those low-interest rates, that the biggest institutions that have the biggest access to leverage at cost of capital significantly cheaper than anyone else can produce. Then the question is, is what, what for a typical middle-class person-how do they accumulate wealth? And I think their only answer is to put a certain percentage in crypto.”
Wernick suggests that the philosophy underpinning Bitcoin is much misunderstood and the industry is now comprised of people looking for alternative models to make money, and hence are being drawn towards blockchain projects. He argues:
“There have been some studies that show that now, that if you put 5-10% of your money in crypto that actually on a risk-adjusted basis it improves your total portfolio returns…“I think over five years, you’re going to accumulate a lot more wealth than you would in any other alternative investment. […] “I think everybody should put something into crypto,”
He argues that new investors are largely “agnostic” not aware of the original philosophy that drove people to Bitcoin initially and kept it alive through its lean period:
“There was a small universe of people that actively worked to keep it alive by continuing to mine and continuing to buy and they were doing it because of the concept that they believed in, and that it’s a people’s money.”
Wernick describes Bitcoin resilience in the current financial climate as “amazing” in that the flagship digital currency has always faced headwinds with every government trying to figure out how to kill it. Despite that, it has outperformed every currency.
The investor sees the future as multi-tiered, as those moving first making more money than the second group and so on until broad adoption will stabilize and flatten out the price, thus killing market volatility.
Follow BitcoinNews.com on Twitter at @BitcoinNewsCom
Telegram Alerts from BitcoinNews.com at https://t.me/bconews
Image Courtesy: Pixabay
