Billionaire Miller Says Crypto Is An ‘Insurance Policy’ Because ‘They Can’t Confiscate Your Bitcoin’

Institutional investors quickly took notice of the cryptocurrency industry’s merits, and a growing number of big names have recently jumped on the bandwagon after resisting it for years. For legendary investor Bill Miller, the biggest motivation behind his huge Bitcoin wallet allocation is the government’s lack of ability to interfere in its economy and ownership.

The billionaire revealed that he has invested 50% of his entire portfolio in Bitcoin and companies related to the best digital asset in a recent interview with WealthTrack. This, after finding the perfect buying opportunity when Bitcoin dropped to $ 30,000 last year. Even though he held a minor amount previously, his recent BTC buying spree was the result of continued token price growth and intriguing fundamentals according to Miller. He added,

“Bitcoin has grown an average of 170% per year over the past 11 years… There are a lot more people using it now, a lot more money being invested in it by the venture capital world, there is a lot of skeptics trying to get it out now.

He also berated Warren Buffett’s comments about Bitcoin’s lack of intrinsic value, stating that it is based on supply and demand dynamics, just like paintings and other collectibles. He said,

“Bitcoin is the only economic entity where supply is unaffected by demand.”

On the contrary, the investor explained that the supply of gold will increase with its demand as this will encourage its miners to increase production. In addition, Bitcoin is also inaccessible to government authorities and guarantees secure private property, the investor argued. According to him, the combination of these factors makes the asset a real “insurance policy“.

Miller also revealed that his other Bitcoin-related investments include mining firm StrongHold Digital and business intelligence firm MicroStrategy, whose CEO Michael Saylor also believes in buying Bitcoin dips. In fact, the executive has increased the company’s BTC holdings to around $ 5.9 billion over the past year. Many see the company’s shares as a regulated and safer exposure to the decentralized asset.

The investor also revealed his plans for an additional allocation if his bullish outlook materializes, stating:

“I thought 50% was a good stopping point for me, but if it goes up to $ 80-85,000, I’ll buy it all the way.”

Ray Dalio is another financial industry legend who recently changed his mind about Bitcoin. He is now in favor of cryptocurrency as a tool for portfolio diversification. Revealing his own holdings, Dalio claimed that allocating 2% of a wallet to Bitcoin is reasonable.

Stating this was due to Bitcoin’s resemblance to gold as a limited supply and inflation hedge asset, the investor also stressed the need for diversification and risk assessment. Also in a previous interview, he claimed that Bitcoin “has only some merit as a small part of a wallet”, adding that it was “the youngster’s alternative to gold. generation”.