Anthony Scaramucci of SkyBridge Capital Equates Bitcoin to Bonds and Gold: Calls it Safe
January 26, 2021 11:57 AM
Anthony Scaramucci, the head of SkyBridge Capital and former White House communications director, believes Bitcoin’s (BTC) value proposition has strengthened significantly now that governments have addressed many of the risks associated with the digital asset.
SkyBrigde Capital introduced a new Bitcoin fund in early January. Anthony Scaramucci head of SkyBridge says that improved infrastructure and regulation have have made investment in Bitcoin "as safe as owning bonds and commodities like gold."
In an article published on CNN, Scaramucci and fellow SkyBridge executive Brett Messing argue that Bitcoin has become a viable option for long-term investors seeking refuge from inflation. The authors also claim that holding Bitcoin is far less risky today than it was a few years ago when regulations and infrastructure were still underdeveloped.
Bitcoin’s growth has “caused government and institutions to step in and address many of the risks associated with the digital currency,” the authors wrote, referring to the decision by the Office of the Comptroller of Currency to authorize banks to provide cryptocurrency services.
“[...] increased regulations, improved infrastructure and access to financial institutions — like Fidelity — that hold investors' money have made bitcoin investments as safe as owning bonds and commodities like gold, which are also used to balance portfolios.”
SkyBridge Capital made a big splash last month when it applied with the U.S. Securities and Exchange Commission to launch a Bitcoin hedge fund. The SkyBridge Bitcoin Fund LP launched a few weeks later, with Fidelity serving as custodian and Ernst & Young handling the auditing.
SkyBridge reportedly invested in Bitcoin during November and December, allowing it to accumulate a large position in the digital asset before its parabolic spike. At the time the fund was launched, on Jan. 4, SkyBridge claimed its BTC exposure was worth approximately $310 million.