Is Bitcoin really a hedge against inflation?
Bitcoin is working as a hedge against inflation despite its 2022 weak price performance, says Steven Lubka, managing director of private clients at Swan Bitcoin. While Bitcoin (BTC) has failed in countering this year's rampant global inflation, it should still be considered as an inflation hedge, says Steven Lubka, the managing director of private consumers at Swan Bitcoin. According to Lubka, Bitcoin works well as a hedge against rising prices when inflation is caused by monetary expansion. It is less effective when inflation is caused by the disruption of the food supply and energy,....
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The argument for Bitcoin as an effective hedge for inflation has been a long one in the making and so far, the digital asset has not failed those who have a stake in it. Bitcoin’s returns over the past couple of years have been far greater than the rate of inflation, which currently sits at […]
One of bitcoin’s main selling points has been the fact that its return has often put it ahead of the inflation rate. Due to this, it has gained notoriety as the “digital gold” as a good portion of the community put forward that the digital asset is a better inflation hedge than any asset. However, […]
A portfolio manager and member of Blackrock’s Global Allocation Fund says gold is now a less effective hedge against inflation as well as moves in other assets such as stocks. In comments that appear to undercut the precious metal’s renowned status, Russ Koesterich claims that “gold’s ability to hedge against inflation has been somewhat exaggerated.” Gold Less Reliable Across Most Investment Horizons While Koesterich is still cognizant of gold’s status as a “reasonable store of value over the very long-term,” he does however opine that....
Inflation eats into your savings, reducing the value drastically over time. Is Bitcoin a good inflation hedge? Does Bitcoin work as a hedge against inflation?Statistics reveal Bitcoin has worked wonderfully well against inflation, much better than assets such as gold, real estate and stocks.As an asset, Bitcoin works amazingly well against inflation and beats it by a big margin, though you should be careful about extraneous factors like the regulatory environment. Statistics reveal that the odds are much better while storing value in Bitcoin than assets like gold, real estate, stocks and....
The Skybridge Capital CEO said Bitcoin needs much more proliferation before it can act as an inflation hedge. Skybridge Capital CEO Anthony Scaramucci believes that while Bitcoin continues to be an attractive asset, it has not reached the “wallet bandwidth” that is required for it to be considered an inflation hedge. Speaking on CNBC’s Squawk Box on Aug 22. the global investment management CEO said Bitcoin was still too much of “an early adopting technical asset” which would need to be held in around a billion wallets before it would begin to act as a hedge against inflation.“Until you get....