The investor, fund manager, and philanthropist pointed out that gold is the only reserve asset controlled by the country, the largest in terms of area, on its own. According to him, this means that BTC may gain in value in the coming days.
The armed conflict in Ukraine radically changed the situation in the financial world. NATO and the EU have declared an economic war against Putin's regime.
The US, UK, Germany, and many other countries have cut off their monetary ties with Russia. They also excluded many Russian banks from the main SWIFT payment system.
As a result of these sanctions, the ruble fell by more than 25%, and Russian citizens began to look for alternative financial instruments to protect their savings. Bitcoin trading volume in this region has reached record levels.
In a recent interview with CNBC, former Chairman of Legg Mason Capital Management Bill Miller stressed that Russia maintains 16% of its reserves in dollars and 32% in euros.
These assets are managed by "people who want to harm them". He further stated that the only part of their reserves that other nations cannot control is gold (22%). According to Miller, these indicators are a "very bull" sign for bitcoin.
"They have almost 50% of their reserves in currencies that are controlled by people who want to do them harm...they have 22% in gold that is the only part of their reserve that other countries can't control," says Bill Miller on Russia. "It's very bullish for #bitcoin." pic.twitter.com/zWihekfeyk— Squawk Box (@SquawkCNBC) March 2, 2022
In addition, he drew attention to the limited supply of BTC, which makes it a hedge against inflation. Commenting on altcoins, he said that they are very different from the underlying cryptocurrency and investors should view them as "venture assets".
Miller's position on Bitcoin
Despite a skeptical opinion about BTC in the past, the American has recently become an ardent supporter of the original cryptocurrency.
In May last year, he argued that investing in it is safe even during price drops. In fact, investors should find it more attractive when its value is declining:
If I liked something at higher prices, you can bet that I will like it even more at lower prices.
A few months later he made a rather interesting comparison between Bitcoin and gold. In his opinion, the digital asset resembles a Ferrari luxury sports car, while the precious metal is old-fashioned - like "horse car and carriage".
Earlier this year, the investor admitted that he spent 50% of his wallet on buying Bitcoin.
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