Bitcoin is lately the talk of the town. With BTC hitting an all-time high of $68K, the crypto market seems to be in full swing.
With Bitcoin ETFs in the mix, the influx of investors in the sector has truly been astounding. Analysts have noted staggering statistics for Bitcoin, noting the ETF influx to breach the threshold of billions.
Bitcoin ETFs have surpassed gold as one of investors’ primary investment choices. With a whopping popularity quotient and a fluctuating USD in sight, here’s how Bitcoin could replace the US Dollar.
Also Read: BRICS Announces New Blockchain-Based Crypto Payment System
Three Reasons Why Bitcoin Could Replace USD
In Queue for Higher Returns
With the US Dollar fluctuating in pricing now and then, Bitcoin is slowly emerging as one of the top choices for investors to hold and store.
The calls for de-dollarization and news of BRICS working on a new currency have impacted the USD in a negative light.
Investors are now seeking a solid store of value currencies that can maximize their returns, and Bitcoin seems like a promising contender against USD.
A Robust Hedge Option
With the USD losing its might on a global scale, investors are keen to explore Bitcoin as a possible hedge against inflation and economic meltdowns.
Robert Kiyosaki, author of Rich Dad, Poor Dad, has been a strong BTC proponent and has often been noted for disseminating ways why BTC is better than USD.
Kiyosaki argues that money printed by central banks like the USD is not backed by any reliable tangible asset. This makes them unreliable sources of income and interest. However, Bitcoin’s limited supply and resistance to inflation seem lucrative to many, which Kiyosaki believes could be a game changer.
Bitcoin as a Tool for Diversification
With Bitcoin ETFs in the mix, modern and traditional investors are pivoting towards diversifying their portfolios. These investors are keen to protect themselves from rising economic meltdowns and crises.
Also Read: BlackRock Files To Purchase More Bitcoin ETFs for SIO Fund
As Bitcoin is resistant to inflation and economic shocks, it’s been actively explored as a diversification tool for investors to follow and store. The purchasing power of the USD is also dropping. This development is also compelling investors to explore alternatives that could maximize their profits to the fullest.
Similarly, diversification or investing in a plethora of new realms and sectors will ensure protection against economic draughts and meltdowns.