{"id":270236,"date":"2020-07-30T06:16:34","date_gmt":"2020-07-30T10:16:34","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=270236"},"modified":"2020-07-30T06:16:34","modified_gmt":"2020-07-30T10:16:34","slug":"fidelity-classifies-bitcoin-as-insurance-policy-and-aspirational-store-of-value","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/fidelity-classifies-bitcoin-as-insurance-policy-and-aspirational-store-of-value","title":{"rendered":"Fidelity Classifies Bitcoin As \u201cInsurance Policy\u201d and \u201cAspirational\u201d Store Of Value"},"content":{"rendered":"
Fidelity Digital Assets stands as a subsidiary company of Fidelity Investments, a multi-trillion dollar investment firm. According to this company, however, Bitcoin<\/a> can be viewed as an \u201cinsurance policy\u201d against a troubled financial system, as well as an \u201caspirational store of value.\u201d This comes by way of a new report the company issued out.<\/p>\n Fidelity, which holds more than $8 trillion in assets, launched its digital assets arm<\/a> back in October of 2018<\/p>\n The report<\/a> highlighting this new classification for Bitcoin is aptly titled \u201cBitcoin Investment Thesis: An Aspirational Store of Value.\u201d The report took note that Bitcoin manages to meet the basic test for being considered a store of value, but has yet to achieve this status quite yet, to the world at large.<\/p>\n <\/a><\/p>\n One of the key components that drive Bitcoin\u2019s potential to serve as a store of value, is how it relies on a digitally scarce native asset, as well as a decentralized settlement network. One of the key arguments against Bitcoin\u2019s store of value classification is the fact that Bitcoin suffers from a lot of volatility. However, the report argued that this is a boon, encouraging development, innovation, and attention to be put on the asset at large. At least, that\u2019s what the report says.<\/p>\n John Pfeffer, of Pfeffer Capital LP, has been quoted in the report, as well. He explained that the majority of the world has yet to see Bitcoin as a form of digital gold. The moment people start to see it as such, Pfeffer explained, will be when the price of Bitcoin will begin to adjust accordingly.<\/p>\n The report touched on a few key concerns of the world as it is now. Particularly, the fact that the world\u2019s governments are printing out money as a response to the COVID-19 pandemic and its subsequent financial crisis. The report suggested that some are starting to lose faith within traditional economies.<\/p>\n The report cites the as-of-yet unknown consequences of the global monetary and fiscal stimulus, as well as the record-low interest rates. Add deglobalization on top of this, the report said, and the desire for adoption and general awareness is as strong as it can be at this time.<\/p>\n Wakem capital Management\u2019s John Vincent gave comment about the matter, as well. He referenced the rampant money printing occurring just as the Bitcoin halving occurred, stating that you don\u2019t need a fancy degree in order to know that BTC\u2019s supply halved while the USD doubled in supply.<\/p>\n","protected":false},"excerpt":{"rendered":"Deeming Bitcoin As Store Of Value<\/strong><\/h2>\n
Volatility Claimed To Go<\/strong><\/h2>\n
Many Things Going For Bitcoin<\/strong><\/h2>\n