Mark Yusko, CEO of Morgan Creek Capital, believes that Bitcoin is able to play the role of a "hedge against chaos or fraudulent insurance" against the backdrop of a decline in traditional assets.
"I believe we are in the biggest credit bubble in history. I think it's starting to disintegrate," Yusko told CNBC. - We've been discussing this since last fall, when the markets began to behave as they did in 2000, 2001, 2002. In 2001, there was a slight recession, and in 2002 the bubble exploded, swallowing Enron and WorldCom. I think the same thing is going to happen. There are a lot of re-lending corporate companies now.
Yusko admitted that the deterioration of the global economy makes him nervous. Against this background, the perception of Bitcoin as a safe asset will remain, he said.
"For a long time I have been saying that people who look at the daily fluctuations of the Bitcoin rate do not understand the essence. The whole idea of Bitcoin is a means of accumulation. It's a hedge against chaos or cheating insurance, as I like to call it. You have to think about the long-term trend," he added. - Every year the value of the network grows. The minimum in each new year is higher than in the previous year. We should strive to own a part of this network; to invest 1, 2, 3, 5 percent of the capital in hedge against all the problems that we see in the fiat and stock markets. Shares are highly overestimated. Borrowings are overvalued. It's hard to find an asset that would be undervalued.
Earlier Yusko said that Bitcoin would easily rise to between $50,000 and 100,000 by 2021.