Don’t Be Stupid: Cryptos Are a Buy

The entire crypto concept was called into question last year, as asset prices dropped — so did BTC-ETH. This chagrined people greatly who said cryptos would be a safe haven during a period of inflation. The flaw in that thinking was to presume another fiat currency would become more attractive than dollars and that inflation would provoke people to move their assets away from dollars.

WRONG.

The inflation was global. All things being equal, the dollar still reigned supreme.

However, during the recent mini banking crisis — we saw something much different. People SOLD dollars and moved those assets into cryptos. There is no debating it. The price of BTC soared as the shares of SBNY, FRC, SIVB and others spiraled lower amidst digital bank runs.

Which brings me to my next suggestion: diversify yourselves against the specter of de-dollarization. The effect won’t happen overnight. Perhaps we’ll see the dollar trade percentage drop from 59% to under 50% over the next decade. Bear in mind, the vast majority of global wealth is still heavily concentrated in the west. However, the trend is undeniable and the risk or even the suggestion that the dollar might fall against other currencies is reason enough to asset allocate into a battle tested currency: Bitcoin.

Because of this, we are seeing the miners soar: MSTR, RIOT, MARA, SDIG, CLSK and others. Whilst they are fun to trade, they are NOT serious replacements for a currency and should not be bought as representation for Bitcoin.