Hedge fund manager Paul Tudor Jones is buying bitcoin futures to hedge against "great monetary inflation," comparing the cryptocurrency to gold in the 70s.
Jones revealed that one of his funds holds a low single-digit percentage in futures on bitcoin in a memo, Bloomberg reported.
"The best profit-maximizing strategy is to own the fastest horse. If I am forced to forecast, my bet is it will be Bitcoin," the founder and CEO of Tudor Investment said.
Bitcoin futures trading on the CME was up more than 4% on the news, trading at $9,855 for one bitcoin unit.
Interest in bitcoin has piqued amid trillion-dollar rescue packages from central banks around the world as countries look to bolster economies that are seeing unprecedented GDP contraction due to the coronavirus pandemic.
“I am not a hard-money nor a crypto nut," Jones said. But "the coming digitization of currency everywhere, accelerated by COVID-19
Jones has achieved legendary status on Wall Street after correctly predicting the 1987 economic crash and shorting Japanese equities a couple of years later before Japan's economy crashed.
In March, Jones told CNBC that he thought that the stock market could be back higher by June if coronavirus cases began to peak.
“I do think the stock market’s going to find a bottom once we get a peak in the epidemic curve, [there’s] not a doubt in my mind the stock market will rally," Tudor said.
The Bitcoin Twitter account seemed to be gloating about the recent rise in futures which has increased over 27% in the last month.