Mark Mobius, founding partner of Mobius Capital Partners claims bitcoin’s emergence will further drive investors to gold. | Source: REUTERS/Francis Mascarenhas
He claimed the rise of “faith-based” cyber-currencies would ultimately push investors towards hard assets like gold.
“You have all these new currencies coming into play. I call them psycho-currencies because it’s a matter of faith whether you believe in bitcoin or any of the other cyber currencies. And I think with the rise of that, there’s going to be a demand for real hard assets and that includes gold because gold can play a role not only as an asset, but as a currency.”
Although he shrugged off bitcoin, he urged investors to load up on gold as central banks prepare to ramp up the monetary printing press.
“I think you have to be buying [gold] at any level, frankly. Gold long term prospect is up, up, and up. The reason why I say that is money supply is up, up, and up. The efforts by central banks to lower interest rates, they’re going to be printing like crazy.”
In his analysis, Mobius touches on bitcoin’s raison d’être. Central banks around the world are indiscriminately increasing the money supply, while bitcoin remains hard-capped and limited. BTC is a scarce asset and hard money. The antithesis of central bank printing presses.
In a roundabout way,