Wall Street Veteran: Bet on Bitcoin

Date: 
May 24, 2019
Read time: 
2 minutes

The bulls are recruiting big names now. The bears still have Warren Buffett and Charlie Munger, but the all-star lineup for the bulls is growing by the day. The latest big shot is Mark Yusko from CNBC’s Fast Money and founder of, Morgan Creek Digital. He’s gone on the record to state that bitcoin makes a great diversifying asset in a stocks portfolio -- and here’s the kicker -- that every investor should hold a bit of the King of Crypto: Bitcoin.

The bulls are recruiting big names now. The bears still have Warren Buffett and Charlie Munger, but the all-star lineup for the bulls is growing by the day. The latest big shot is Mark Yusko from CNBC’s Fast Money and founder of, Morgan Creek Digital. He’s gone on the record to state that bitcoin makes a great diversifying asset in a stocks portfolio -- and here’s the kicker -- that every investor should hold a bit of the King of Crypto: Bitcoin.

I think going forward from here, even over the next ten years, it’s not going to be close. Bitcoin is a great diversifying asset. It has a very low correlation, it should be on everybody’s portfolio. (Mark Yusko)

It’s not a surprise. Since this January the price of 1 bitcoin price has risen by more than 100 percent -- from $3,200 to $8,000. This rise easily outperformed every major stocks index, even the S&P 500.

$1 Million Bet BTC will win - No takers

In December 2018, during Bitcoin’s plunge from $6000 to $4000 and lower, Mark Yusko gave a challenge -- in true permabull fashion. In front of the huge CNBC, audience, Yusko offered a $1 million bet to any investor or institution. He bet $1 million (to charity) that over the next ten years bitcoin would outperform stocks. A direct challenge to all investors who keep saying bitcoin is a “bubble” about to pop and go to zero.

Yet no one took him up on the bet. Yusko said that no investor answered the challenge -- and that this indicates investors have become more cautious in swearing bitcoin “will be banned,” “used for drug trafficking,” and other nonsense.

He said:

“I was lucky. I happened to be on Melissa’s more afternoon show back in December, the week when bitcoin was at $3,150 and she said ‘what do you think?’ and I said ‘look, we’ve issued the Morgan Creek Digital crypto challenge, we will take BTC over the next ten years starting January 1 and we’ll take anybody who wants to take the other side in a million dollar charity bet’, we got no takers.

Get More Knowledge: The Best Crypto Tools You Should Use

It is a good thing they did not take it because bitcoin is up over a hundred percent this year, the S&P is up 14 percent. I think going forward from here, even over the next ten years, it’s not going to be close. Bitcoin is a great diversifying asset. It has a very low correlation, it should be on everybody’s portfolio.”

Now Mark Yusko may be a permabull -- but he isn’t overzealous either. He demonstrated a level head when he emphasized that he does not encourage investors to sell everything and commit to the crypto market.

Yusko noted that BTC performs well as a diversifying asset. Its lack of correlation with stocks, bonds, and the broader financial market and traditional asset classes is why he believes BTC is a new asset class -- bound to stay around.

Posted by R.R. Hauxley

R.R. Hauxley traveled around the world ... 1 year on 1 Bitcoin. 20 countries, 12 months, 1 Bitcoin. He wrote a book about it: Stolen Wallets and Where to Buy Them. Along the way he met and interviewed the sharpest, brightest minds in crypto today: Vitalik Buterin, Charlie Lee, and more. Today Rafael educates the crypto curious and delves further into the incredible world of blockchain.

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