Elon Musk Won’t Sell His Bitcoin, Reveals What Assets to Hold During High Inflation
The world’s richest man – Elon Musk – took it to Twitter to reveal that the company he spearheads – Tesla – is coming under pressure from the increasing inflation. He also shared his opinion on what assets it’s better to own when inflation goes up.
- In a recent tweet, the man behind Tesla and SpaceX shared that both companies are coming under pressure from the increasing inflation resulting in high commodity prices.
- Musk posted an article from the Financial Times, discussing the fact that global commodity prices are on track to see the biggest weekly rally in over 50 years as a result of the war between Russia and Ukraine.
- High inflation numbers are also reflected in the US Consumer Price Index. The country’s Bureau of Labor Statistics released the numbers on March 10th, and the index that’s largely used to gauge inflation came in at 7.9% – the highest in decades.
- Commenting under Musk’s post was the CEO of MicroStrategy – Michael Saylor – who said:
USD consumer inflation will continue near all-time highs, and asset inflation will run at double the rate of consumer inflation. Weaker currencies will collapse, and the flight of capital from cash, debt, & value stocks to scarce property like Bitcoin will intensify.
- Musk responded that it’s not surprising that Saylor would “reach that conclusion.” To his point, Saylor’s company does hold over 125,000 BTC, and he is one of the cryptocurrency’s most vocal supporters.
- Nevertheless, Musk also shared his thoughts on what assets he thinks is good to hold under the current predicament:
As a general principle, for those looking for advice from this thread, it is generally better to own physical things like a home or stock in companies you think make good products, than dollars when inflation is high.
- He also outlined that he still owns and has no plans of selling his Bitcoin, Ethereum, or Dogecoin.
