Investment Advisory CEO: BTC Is The Next Hedge Fund Staple

Investment Advisory CEO Don Steinbrugge stated that the traditional hedge funds have avoided Bitcoin in the past but now switched gears to cryptocurrency as the general situation on the traditional markets is going bad as we read in the latest cryptocurrency news.

For example, Mike Novogratz who is a former partner at Fortress Financial and Goldman Sachs stated multiple times that he took a plunge with Bitcoin in 2013 and his colleagues believed he was crazy. Travis Kling as one of them as well as his friends were very confused when he dived into crypto. The disrespect that most of the people from Wall Street have had towards cryptocurrency mainly comes out because of the hearsay pushed by some of the most popular economists, politicians, and investors. Warren Buffett, for example, claimed that Bitcoin is ‘’rat poison’’ and has not much more inherent value than a ‘’coat button.’’ Donald Trump as well believes that cryptocurrency is ‘’thin air.’’ The sentiment seems to be slowly shifting in crypto’s favor. The traditional assets are expected to underperform because of the macroeconomic and geopolitical risks. When he was speaking to CNBC, the Investment Advisory CEO and Chief Executive of Agecroft Partners stated that there is an institutional case to own bitcoin.

His first point was that BTC had a great run so far because of its security and reliable transactions. he added that he is now a big fan of the bitcoin blockchain technology. The cryptocurrency proved that it can facilitate transactions for much cheaper prices and much faster while the centralized counterparts made it through the fiat system for much longer. Steinbrugge continued to praise Bitcoin’s potential and use case as being deflationary due to its 21 million supply cap. He did say that Bitcoin is quite expensive by traditional measures but concluded that the cryptocurrency is here in the long term and that hedge funds will include BTC in their portfolios.

As we are reading in some of the best cryptocurrency news sites, the industry investor stated that with hedge funds and pensions going bad in their benchmarks, it could be wise to include Bitcoin in order to improve their portfolios potential returns.