Billionaire Paul Tudor Jones Backs Bitcoins as The Best Inflation HedgeAuthor: Sherlock GomesLast Updated: 08 May 2020 Paul Tudor Jones, the billionaire investor, said that the position of Bitcoin reminds him of gold in the 1970s. This means that Bitcoin could become the best hedge option against inflation in the age of pandemic.Tudor writes in a research noteTudor shared his views in a recent research note in which he talked about the Federal Reserve and the US government printing money at an unprecedented scale and providing stimulus measures to the economy. He said that these are the reasons why he is now shifting his focus on Bitcoin, the world’s largest cryptocurrency.In his note“The Great Monetary Inflation” Jones said, “The best profit-maximizing strategy is to own the fastest horse.”Last year, Jones was of the view that a dovish Fed guideline and geopolitical tensions should let people focus more on stocks and gold. His strategy ultimately paid off. Last June, he said in an interview with Bloomberg that once gold breached 1,400, it goes up to 1,700 very quickly. His predictions were correct as gold settled at $1,725.80 on Comex. In 2020, it has made 13.4% gains and 34.4% gains over the past 12 months alone.Focusing on BitcoinNow Jones said that he would be focusing on Bitcoin via the CME Group futures markets. FactSet data suggests that the June futures price touched $10,155 on the platform. Futures based on the most-active contracts have already gone up by 38% year to date and recorded 70% gains in the past 12 months. This has helped Bitcoin surpass the gains by gold by a wide margin.The Dow Jones Industrial Average, as well as the S&P 500, have both fallen by about 11% this year. The Nasdaq Composite has risen by only 0.1%. The rise was due to a Thursday rally.Jones gained fame for profiting off the October 1987 stock market crash when Dow lost about 24% of its value, the largest single-day loss in its blue-chip index. He successfully predicted the crash and gained legendary status because of his correct bets on the markets. He is also well known for trading multiple instruments from commodities to currencies. However, in recent years, his returns have not been great and his hedge fund has lost billions of dollars. Still, Jones’ net worth is about $5.1 billion.Jones is not alone in predicting a boom in Bitcoin prices. Several other Bitcoin bulls suggest that the currency’s price will shoot up as it undergoes halving in May.