Bill Miller, an investor known for outperforming the S&P 500 index from 1991 to 2005, defended bitcoin from criticism in his letter to investors in the fourth quarter of 2020 and has now reaffirmed his beliefs in the national chain.
Speaking to the United States' CNBC channel, Miller said that bitcoin is yet to rise and even "considerably higher." As companies like Square and PayPal buy freshly minted bitcoins each day and retail demand continues to rise, while the bitcoin supply grows more slowly, bitcoin is likely to reach new highs, according to Miller.
While people speculate where the top is, Miller said the US central bank's policy of setting interest rates at zero makes the dollar a "guaranteed loser". Allocating one to two percent of your money to bitcoin is good protection, even if the cryptocurrency fails, Miller argued.
"I think having a little bit of money in bitcoin is more of a risk management strategy than anything else," he said.
Previously, in a letter to investors from Miller Value Partners, the investor stated that bitcoin was still at the beginning of an adoption cycle, despite having already overtaken JPMorgan in market capitalization.
He also addressed Warren Buffett's famous criticism of cryptocurrency, where Berkshire Hathaway's CEO compared btc to rat poison. "He may be right, bitcoin is rat poison, and the rat is money (fiduciary)," wrote Miller.
See also: New game hides bitcoins in drawings, are you able to find them?
Invest in cryptocurrencies with security, high liquidity and the lowest rates in the market.
NovaDAX: the most complete exchange in Brazil with over 25 listed cryptocurrencies and the best customer service score.