- Robert Kiyosaki believes Bitcoin’s decline is temporary and considers it a buying opportunity amid growing concerns over the traditional financial system.
- He warns that US debt and inflation will weaken the dollar, making assets like Bitcoin, gold, and silver more reliable stores of value.
- Kiyosaki maintains that Bitcoin operates with integrity and remains a hedge against financial instability as fiat currencies lose purchasing power.
Robert Kiyosaki, a finance writer, recently regained faith in Bitcoin with its recent decline in its price. The decline in Bitcoin’s price made its author characterize it as a buying opportunity as he reiterated that its fall is not a flaw in Bitcoin itself, but in the traditional finance system.
Bitcoin Decline and Kiyosaki’s Investment Strategy
Robert Kiyosaki, author of Rich Dad Poor Dad, recently made a statement on Bitcoin following its recent decline in price. In a tweet, he made a statement that went as follows: “BITCOIN CRASHING Bitcoin is on SALE I AM BUYING.” He is bullish on Bitcoin’s long-term value, attributing volatility in its price to structural monetary defects in the economy, not in Bitcoin.
Kiyosaki also endorsed alternative currencies such as gold, Bitcoin, and silver. The foundation of his investing approach is that fiat money in the form of US dollars is devaluing due to over indebtedness as well as increased inflation. In purchasing more Bitcoin at a fall in prices, he is likely to earn from recoveries in prices in the future.
Concerns Over the US Monetary System
Beyond Bitcoin volatility, more critical issues with the economy in America have been seen by Kiyosaki. The cause is not Bitcoin itself, according to him, but in the monetary system itself as well as with finance institutions. America alone owes over $230 trillion in social programs as well as government commitments, which makes it a non-sustainable system in the long run.
Kiyosaki also warned that a drop in buying from overseas countries such as Japan and China will have adverse effects. In a situation in which buying from these countries drops, in his opinion, inflation will surge, which will debase both the economy as well as the dollar. Bitcoin is a hedge that in his opinion is a money with integrity.
Bitcoins as a Fiat Money Alternative
This is consistent with his overall monetary ideology. A longtime skeptic regarding government money, which devalues its purchasing power in terms of inflation, Bitcoin is presented as a store of value that is not tied into central bank power.
With a notion that fiat money is depreciating in worth, Kiyosaki argues that Bitcoin, gold, and silver are a form of insurance in case of economic uncertainty. Consistency is key in his strategy, as whenever Bitcoin drops in terms of its worth, in his opinion, it is a buying opportunity as opposed to a cause for panic.
