Veteran investor Mark Mobius thinks Bitcoin (BTC) and other crypto assets are not investments.
In a new interview with CNBC, the co-founder of frontier markets company Mobius Capital Partners points to stocks as the solution for dealing with currency inflation.
??? ???“Stocks definitely are the answer because the devaluation of currencies is not going to go away, which means inflation is going to continue at a high rate going forward. Don’t forget, the US money supply has gone up by over 30%.
The Bitcoin situation and the cryptocurrency situation is religion. It’s not an investment, it’s a religion. They believe in it. People think they’re getting richer, and that’s fine as long as the music continues to play.
[As the] Citibank past president [Charles Prince] says, ‘Everyone has to get up and dance, but once that music stops, then we’re going to be in real trouble.’
So people should not look at these cryptocurrencies as a means to invest. It’s a means to speculate and have fun, but then you’ve got to go back to stocks at the end of the day.”
In an interview with Bloomberg in September, Mobius noted that he could change his mind about Bitcoin (BTC) if it becomes accepted as a method of paying taxes.
“If governments around the world, particularly the US government, allow payment of taxes in Bitcoin or some cryptocurrency, then I would change my mind. Because then it would become an internationally recognized currency.
But as it stands now, that’s not the case. I don’t see that happening anytime soon.”
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