Bitcoin Investment to Protect Value

Billionaire Paul Tudor Janes, founder of the Tudor Investment Corporation, said he was concerned the central bank was not moving fast enough to contain inflation. 

Photo Credit: Getty Images/Robin Hood

He also warned that the recent price spikes were just a lie. He also suggested that investors double their defensive investments such as cash, commodities, and even volatile bitcoins.

"Everything is really crazy right now," said Tudor Jones, to CNBC Squawk Box, quoted from Forbes in Jakarta, Tuesday (15/6/21).

In addition, Tudor also said that the recent Fed meeting was an important meeting in the last five years because based on data, recent inflation was the biggest price increase for 13 consecutive years.

“The only thing I know for sure is that I want to own 5% gold, 5% bitcoin, 5% cash and 5% commodities,” said Tudor Jones, touting a common inflation hedge.

As such, Tudor Jones warned he was concerned about the stock market rising to around 220% of the country's total gross domestic product amid the Fed's "easy money" policy. 

Tudor was referring to investor Warren Buffett's favorite valuation metric, which had topped its previous high of below 200% during the dot-com bubble at the turn of the century.

Tudor became one of the billionaires who supported bitcoin. He has invested 2% of his portfolio in bitcoin, as well as touting bitcoin as the world's largest cryptocurrency as a reliable inflation hedge.

Tudor also sees bitcoin as a way to invest in certainty, despite the recent collapse of the crypto market. 

However, even though Bitcoin has fallen nearly 40% from its high in mid-April, it is still up nearly 320% over the past year.

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