Billionaire Paul Tudor Jones Backs Bitcoin and Gold Amid Inflation Fears
By: Eliza Bennet
Billionaire hedge fund manager Paul Tudor Jones II has reaffirmed his investment strategy of holding considerable positions in Bitcoin and gold. In a recent interview on CNBC's "Squawk Box," Jones expressed his concern about looming inflationary pressures that he believes will persist regardless of the outcomes of the 2024 US presidential elections. Highlighting his confidence in commodities as a hedge against inflation, Jones stated, "I think all roads lead to inflation. I'm long gold. I'm long Bitcoin. I think commodities are so ridiculously under-owned, so I'm long commodities."
Jones, who has previously praised Bitcoin's performance amidst the economic uncertainties of the COVID-19 pandemic in 2020, emphasized his continued support for the cryptocurrency. He noted significant long positions maintained by his firm in Bitcoin, underscoring its role as a strategic asset during these uncertain times.
Further elaborating on his strategy, Jones indicated that his view is partly shaped by a prediction of a potential win by former President Donald Trump in the upcoming US elections. This expectation aligns with Jones’s belief that government policies, including tax cuts and increased spending, would further exacerbate inflation and lead to elevated interest rates.
As concerns mount regarding the growing national debt, with projections from the Congressional Budget Office indicating a rise to $2.8 trillion by 2034, Jones commented on the historical trend of nations inflating their way out of debt. In light of this, he expressed skepticism towards fixed income investments, remarking, "I am clearly not going to own any fixed income, and I'm going to be short the back end of fixed income. Because it's just completely the wrong price." As gold achieves a new all-time high of $2,747.40 and Bitcoin climbs by 52% this year, Jones's views offer insight into the evolving investment landscape and the search for assets perceived as safe havens during inflationary periods.
