Financial and investment advisory giant The Motley Fool has announced that it will invest $ 5 million in Bitcoin (BTC) with the expectation that it will rise to $ 500,000.
Announced earlier today via a blog and Twitter post, the company said it would not be “buying overpriced ETFs” but “buying Bitcoin directly”. Currently ranked fifth globally in the investment category, according to SimilarWeb, and with 87 million site visits per month, The Motley Fool highlighted three main reasons behind the purchase: Bitcoin is a store of value better than gold, it is an effective protection against inflation and has the potential to become a transactional asset.
Here’s why:
1. We believe it will store value more effectively than gold in the long run.
2. We believe it can become a medium for transactions, if / if prices stabilize in the next decade.
3. We believe it can act as a productive hedge against inflation.– The Motley Fool (@themotleyfool) February 17, 2021
The company will be investing in Bitcoin through its 10X real money portfolio as one of the 40 assets it expects to provide a return of 1,000% over the next 15 years. The company recommended the digital asset as a primary holding company for all of its 10X members and gave them time to buy BTC before Motley Fool started its own purchase.
Due to the long-term commitment, the announcement explains that volatility is of little concern.
“Although Bitcoin may well remain volatile in the short term, we believe it has a potential 10 times greater than current levels in the long term, as part of a diverse portfolio. We plan to keep this investment in Bitcoin for many years. “
If the company’s forecast is confirmed, it will see Bitcoin surpassing $ 500,000 over the next 15 years. The Motley Fool says it has a solid investment history.
Motley Fool has so far named 10 of the 40 investments chosen for the 10X portfolio, with the others being the cloud computing company Appian Corporation, the Swiss biotechnology company CRISPR Therapeutics, the cybersecurity company CrowdStrike, the Etsy e-commerce platform , the Fulgent genetic testing platform, Lemondate insurance company, Pinterest social media platform, Skillz mobile gaming platform and video communication company Zoom. It is important to note that many of these actions have already been recommended in other more basic investment services of the company.
The consulting firm has been aware of cryptocurrencies for years, with a 2017 analysis suggesting that Bitcoin’s biggest competitor was not Ethereum, but Litecoin.
Funny fact: The second site most visited by users of The Motley Fool’s website is the IRS.