Chamath Palihapitiya Believes Everyone Should Hold 1% Of Their Assets In Bitcoin

Bitcoin Is Fundamentally Uncorrelated

While speaking on Squawk Box, a TV show by CNBC, Palihapitiya said that every investor, institutional or retail should invest at least 1 percent of their assets in Bitcoin. He mentioned that like other financial assets, Bitcoin is not correlated.

Palihapitiya further said,

“When you see the amount of leverage the financial industry is running, and you think about all these dislocations and all these exogenous things that are happening that you can't predict, there's a lot of risk to the downside, and it will be great that an average individual citizen, of any country in the world, has an uncorrelated hedge.”

According to the report, Palihapitiya stated that people should not be bothered by the outbreak of Coronavirus. He rejected the theory which represented Coronavirus as a bull catalyst.

Whether BTC Is A Safe Haven?

Earlier, it has been stated that like Gold, Bitcoin too was a Safe Haven but, this week, its (Bitcoin) market value fell down up to 13 percent and the narrative was also being questioned. Despite BTC failing to bank on the coronavirus outbreak, Gold has performed well and gained 0.5 percent.

The former Facebook executive, while giving advice to the investors, stated that the investors should invest a small percentage of their net worth into Bitcoin as “insurance”.

The report further stated that for a very long time, Palihapitiya has been a supporter of Bitcoin. Virgin Galactic became the most high-profile company that started accepting Bitcoins. The company has been accepting Bitcoins for spaceflights that worthed $250,000. While speaking on CNBC, Palihapitiya mentioned that since December 2018, his company has received 7,957 registration of interests for the flights.