Advertisement
AD

Main navigation

Advertisement

Legendary Hedge Fund Manager Bill Ackman Eyes Bitcoin, Believes in Its Sky-High Potential

Advertisement
Sun, 10/03/2024 - 9:55
Legendary Hedge Fund Manager Bill Ackman Eyes Bitcoin, Believes in Its Sky-High Potential
Cover image via youtu.be
Read U.TODAY on
Google News
Advertisement

Bill Ackman, the renowned hedge fund manager, recently suggested that he might invest in Bitcoin, citing its potential for a significant price increase.

Ackman painted a scenario where the rising price of Bitcoin could lead to increased mining activity, thus driving up energy costs, causing inflation to rise and weakening the dollar.

This cycle, he argues, could lead to an ever-increasing demand for Bitcoin and energy. That being said, he also cautions that the opposite could be the case.

Ackman's evolving stance on cryptocurrency

Ackman is known for his activist investing, where he takes large positions in publicly traded companies to influence their management and operations. Ackman has been involved in notable investment campaigns in companies like Herbalife, Target and Canadian Pacific Railway.

The billionaire has had a rather complicated relationship with the cryptocurrency world. In 2022, he faced criticism for his endorsement of Helium, a blockchain project that was later discredited.

Related

Ackman's initial support came at a time when the crypto industry was under intense scrutiny due to high-profile failures like the bankruptcy of Sam Bankman-Fried’s FTX.

He praised Helium and Dimo for their potential societal benefits. However, subsequent investigations revealed discrepancies in Helium's operations, leading to a significant backlash against Ackman.

Critics pointed out Helium’s overstated claims and financial discrepancies, causing Ackman to clarify his position, stating that his intent was to discuss the broader utility of crypto and tokenization for business, rather than promoting specific tokens.

Industry leaders weigh in

Prominent Bitcoin proponents were quick to weigh in. Prominent investor Anthony Scaramucci advised Ackman to delve deeper into the dynamics of Bitcoin mining. He argues that miners typically utilize low-cost, underutilized energy sources, which prevents them from driving up energy prices.

Meanwhile, Michael Saylor, a prominent advocate for Bitcoin, encouraged Ackman to invest in the cryptocurrency, not for the reasons he outlined, but because of its potential to reduce electricity costs for other consumers. Saylor offered to discuss the matter further.

Related articles

Advertisement
TopCryptoNewsinYourMailbox
TopCryptoNewsinYourMailbox
Advertisement
Advertisement

Recommended articles

Latest Press Releases

Our social media
There's a lot to see there, too

Popular articles

Advertisement
AD