One River Asset Management’s CEO says his firm now holds bitcoin worth “well over” $1 billion. He revealed that the institutional interest in bitcoin is “astounding,” noting that almost all major institutions in the U.S. are having discussions about the cryptocurrency. He believes that bitcoin will be worth more than gold, placing its value at approximately $500K.
One River Asset Management’s CEO Is a Bitcoin Bull
The CEO and co-founder of One River Asset Management, Eric Peters, shared his view on bitcoin at length in an interview with Bloomberg last week. Firstly, he revealed that his asset management firm now holds bitcoin “well in excess of a billion dollars at this point.” He then discussed the case for institutional investors to own cryptocurrencies currently.
“We are in a unique period right now,” Peters began. It is the period seen many times throughout history where “governments become extremely indebted, monetary policy becomes less effective, and ultimately governments … need to issue lots of debt and begin actually spending. Typically, when they do that, they try to unburden themselves from the debt they’re incurring by debasing the currency that they’re issuing that debt in.” The CEO added that “ultimately, those who hold that currency lose their spending power.”
He proceeded to talk about crypto assets, stating that they “are really interesting in the sense that they’re a new asset class altogether.” He noted that they “have some unique qualities, part of which resemble the qualities that you’d find in gold except that they’re wildly underpriced relative to gold.”
Moreover, bitcoin and other cryptocurrencies have “technology properties,” and “will look different tomorrow, and next year, and in a decade to come.” This makes bitcoin “unique to gold because if gold has looked the same two thousand or two billion years ago, then it will look the same in two thousand…