While still maintaining that bitcoin doesn’t make much sense, the US billionaire Leon (Lee) Cooperman recently indicated that those who fail to understand the cryptocurrency might just be too old.
Additionally, he also warned investors and the US government to be careful when dealing with the asset.
Too Old For Bitcoin?
The impressive USD price growth in the past several years and becoming a $1 trillion asset earlier this year has undoubtedly caught the attention of many prominent investors outside of the cryptocurrency scope.
Typically, they are separated into two groups – those who view BTC’s merits and allocate money in it – like Paul Tudor Jones III – and those who refuse to do so and criticize it – such as Warren Buffett.
Lee Cooperman, a US billionaire investor and chairman and CEO of Omega Advisors, seems to be a member of the second camp. A few years ago, while bitcoin was ascending to its $20,000 peak at the time, he argued that it didn’t make sense to him.
Speaking to CNBC, he maintained his position that bitcoin “does not make a great deal of sense.” However, he also noted that his age could be the factor that prevents him from understanding it.
“If you don’t understand bitcoin, it means you are old. I’m 78. I’m old. I don’t understand it.”
Be Careful With Bitcoin
Although admitting that his knowledge about the cryptocurrency is not sufficient, Cooperman warned the US government to be highly vigilant of how they interact with it.
Furthermore, he seemed certain that the authorities should not follow El Salvador’s example to officially accept BTC as a legal currency. He believes it’s not in the interest of the American government to view bitcoin as a substitute for the US dollar.
Cooperman claimed that he is a “paper guy” who believes in the US economy. But for those who are warry of their economic future, he advised them to turn to gold instead of bitcoin, as the precious metal “would be a better place to store value.”
It’s worth noting that the yellow metal’s price against the dollar is somewhat similar to ten years ago. In contrast, bitcoin became the best performing asset in the last decade with an ROI of 8,900,000%. Looking on a yearly scale alone, BTC is up by 60% since the start of 2021, while gold is down by more than 5%.
Featured Image Courtesy of CNBC