The potential of Bitcoin as a long-term investment and a hedge against market risks seems to be working in favor of some investors in 2020. The chief executive of a peer-to-peer payments platform called Abra, Bill Barhydt has become the latest investor to take advantage of the digital asset for waiting out the current economic storm. It was confirmed by Barhydt in a tweet last weekend that he has increased the Bitcoin component of his portfolio significantly. He added that the leading cryptocurrency now accounted for almost half of his whole investment portfolio. The CEO of Abra is one of the most prominent bulls of Bitcoin.
He has thrown his support behind the cryptocurrency and stated that Bitcoin is also a store in value that’s comparable to gold and some of the other top alternative assets. On the same day, he also spoke in a live stream and reiterated the positive opinion he has about the asset. He referred to Bitcoin as the ‘single best investment opportunity in the world’. He elaborated that the fact Bitcoin is scarce works in its favor. He also said that the units of Bitcoin that are left for mining are dwindling constantly, which means that there is a possibility that the value of the asset would continuously skyrocket, as opposed to fiat.
He said that government-printed money or cash is becoming worthless, whereas Bitcoin’s value has remained constant. He said that this trend was going to continue and cash would become increasingly worthless in the future. During the live stream, Barhydt also talked about Central Bank Digital Currencies (CBDCs) and explained that the new focus of the Central Bank wouldn’t stop them from printing additional paper money. He said that the agencies had already been quite irresponsible when it comes to printing money previously, but they were more likely to continue doing so.
The Abra CEO has joined the long list of investors who have made the decision to invest in Bitcoin this year. In recent months, a number of top companies have taken the same route, with the most prominent ones being MicroStrategy, the cloud-based business intelligence firm, which invested almost $425 million in Bitcoin and Square, the payment process that bought Bitcoin worth $50 million in the previous month. Coin98 Analytics, a blockchain research firm, showed that so far institutional investors have invested around $6 billion in Bitcoin. A number of these investors believe in the long-term potential of the asset and so, they have made this move.
It appears the decision has paid off for them because Bitcoin has currently reached a yearly high, with it surpassing the $13,000 spot, thanks to the announcement of crypto integration by PayPal. It announced that its users will be able to access cryptocurrencies and use them for shopping at any merchants who are accepting these digital assets as a means of payment from next year onwards. This growth in Bitcoin looks set to move forward, as the coin has held firmly above the $13,000 value.