In an increasingly digitalized world, bitcoin has assumed a relevant role and has greater potential for appreciation than other commodities, such as gold. The opinion comes from billionaire Paul Tudor Jones, one of the world’s largest investors, whose fortune is estimated at more than US$ 7 billion, according to Forbes Real Time. According to him, cryptoassets are already part of his investment portfolio, reported Exame.
Tudor Jones is the founder of Tudor Group, a holding company specializing in managing investment funds in equities, foreign exchange, fixed income, commodities, and derivatives related to the global market. Despite his investments in the traditional market, he recently stated in an interview for the American television channel CNBC that he sees bitcoin as an interesting bet for diversification. “I concluded that BTC would be the best investment to contain inflation”, he said at the time. “I like the idea of investing in something reliable, consistent, honest, and 100% safe”, he added.
Tudor Jones predicted the stock market crash in 1987
An economics graduate from the University of Virginia, Jones began his professional life writing under Paul Eagle’s pseudonym for the family newspaper. With the money he earned, he financed his studies.
After graduating in 1976, he stopped writing and began trading commodities, such as cotton, at the New York Cotton Exchange, the commodities exchange he would become president of from 1992 to 1995. But before that, in 1980, he founded the first member of his future holding company: Tudor Investment Corporation, a company that traded assets and predicted the 1987 global stock market crash. The insight allowed Jones to draw up a plan to buy stock, which tripled his capital.
The billionaire’s investment methodology follows the strategy presented in his interview for the book Market Wizards. Although he profits from market fluctuations, he monitors the risk of his portfolio assets in real-time. When his investment funds reach pre-established limits, Jones exits the operation.
Bitcoin is a technological advance
Jones has already stated to the New York Times his regret for not investing in technology companies in the 1990s. But he does not intend to let the opportunity pass him by again, and in several interviews, he has stated that he will invest in the crypto market.
In his assessment, bitcoin is a technological breakthrough, and investments in cryptoassets would be similar to buying Apple or Google stock at the beginning of the companies’ lives. In his words, digital currencies are backed by “very, very smart, sophisticated people”.