It looks like bitcoin has found another big fan. The second-richest person in Mexico – Ricardo Salinas Pliego – says he has just made a major investment in the digital currency, but it looks like it wasn’t FOMO or even a newfound love of crypto that inspired him to get involved. Rather, it was fear of his own government.
Pliego Has Ten Percent of His Portfolio in BTC
This year has been negative in many ways, though it can easily be said that 2020 was the year for bitcoin. The currency has spiked to unprecedented levels since March and is now just over $1,000 away from hitting its all-time high again. Will the currency make it by the end of the year? This appears to be the question that’s on every analyst’s mind.
But the currency has made a real name for itself during these last eight months. Because of the rising coronavirus pandemic, it appears many people have sought to get their hands on the digital currency out of fear that fiat will fail them. With inflation on the rise and so many economic pressures building, bitcoin has developed a reputation for being a hedge of sorts – something that can potentially protect one’s wealth and stabilize one’s portfolio during times of strife.
For Pliego, however, the virus and bitcoin’s sudden reputation have not been the big, inspirational factors that is getting him involved in the digital currency arena. In a recent string of Twitter messages, the rich man explained to his followers:
Many people ask me if I have bitcoins. Yes. I have ten percent of my liquid portfolio invested in it. Bitcoin protects the citizen from government expropriations [the state taking property from the owner for public use].
It is estimated that his net worth is approximately $12 billion at the time of writing. While he hasn’t said, exactly, how much bitcoin he truly owns, he did say that he initially invested in the currency roughly four years ago and has the rest of his portfolio set up in precious metal miners.
Why Cash Isn’t Going Anywhere
Pliego has also provided footage to his followers on Twitter of what appear to be bank employees throwing cash away in dumpsters, claiming that paper money in Mexico and in other countries is “worth nothing.” He further stated:
That is why it is always good to diversify our investment portfolio.
Bitcoin has been viewed in a positive light from several of the world’s leading investors and institutions this year. Companies such as MicroStrategy and Square have invested tens to hundreds of millions of dollars in the world’s number one cryptocurrency by market, while figures such as Paul Tudor Jones have advised people to get their hands on bitcoin as soon as they can, saying it’s the best tool to fight inflation.