Head of Xapo: absence of Bitcoin in investment portfolio is “irresponsible”

The head of Xapo expressed the opinion that every responsible investor should invest at least 1% of his investment portfolio in Bitcoin, because the first cryptocurrency can affect the world more than the Internet.

Wences Casares stressed that if you invest in Bitcoin, for example, 1% of the $ 10 million portfolio, this investment can bring up to $ 25 million in 7-10 years. According to the head of Xapo, the rate of the first cryptocurrency may well reach $ 1 million in a specified period of time. If Bitcoin disappears, then the loss will be only $ 100,000.

"Bitcoin offers a unique opportunity for a non-material exposure to produce a material outcome. It would be irresponsible to have an exposure to Bitcoin that one cannot afford to lose because the risk of losing the principal is very real. But it would be almost as irresponsible to not have any exposure at all," 

said Casares.

As an example, the head of Xapo cites the case of investor Bill Miller. In July 2017, he invested 1% of his fortune in Bitcoin and by mid-December, Bitcoin accounted for about half of his portfolio, because the first cryptocurrency grew by 700%.

Casares noted that after the invention of the Internet, people basically created companies, rather than inventing new protocols. Bitcoin has become a new protocol with the potential to change the world more than the Internet.

However, the head of Xapo admits that Bitcoin also has a chance, if not completely fail, then depreciate. He noted that some companies are developing protocols that are more attractive to users. At the same time, Casares does not believe in altcoins. 

"Over 60 million people own Bitcoin and over 1 million people become new owners every month. The other 1,000 cryptocurrencies [that process at least one transaction per day] have less than 5 million owners combined, so Bitcoin will add more users in the next 5 months than those 1,000 cryptocurrencies added in their combined history," he stressed.

he stressed.

Note that Casares has always been a Bitcoin enthusiast. In October of last year, the founder of Xapo stressed that Bitcoin is at the beginning of his journey and he has yet to prove his success. 

SOURCE