“In the future, bitcoin will interest many hedge funds”

CEO of the consulting company Agecroft Partners believes that bitcoin has all the characteristics of a hedging asset and can help investors avoid inflationary risks.

In a conversation with CNBC, Don Steinbrugge raised the topic of non-traditional investments and singled out cryptocurrency as a promising tool:

“The development of this ecosystem is simply amazing, fantastic technology. Some people use bitcoin to protect against inflation, ”he said during a discussion of the worsening trade war between the US and China.

He also noted that economic uncertainty creates some difficulties, and the release of new money no longer gives the expected effect.

Steinbrüggge believes that investing in the stock market is not worth it now, as it is very “overheated” and is at its peak. He also does not advise rushing with the acquisition of bitcoin.

“Bitcoin is too expensive right now. Its price is difficult to evaluate objectively, but the fact is that it will remain for a long time. I think that in the future this asset will become part of the portfolio of many hedge funds, ”the analyst said.

At the end of last month, it became known that Bill Miller increased the assets of his hedge fund by 46% in the first two quarters of this year, largely due to the growth of bitcoin. In 2017, about half of the fund’s assets were invested in the first cryptocurrency. “In the future, his share in the fund will not exceed 50%. But this does not mean that we plan to sell it, ”Miller said.