U.S. Gold Fund Joining Bitcoin

 

The Old Mutual Gold & Silver Fund from Washington, which has $220 million under mangement, joined the bitcoin investing community.

 

According to its manager, Ned Naylor-Leyland, the fund started buying Bitcoin in April. In his interview on Nov. 16, Ned told that the whole  idea is  to take profits from bitcoin as it advances to reinvest in gold and silver assets.

 

This year Bitcoin jumped in price more than eight times, reaching the point 8000$. The entrepreneurs in the field say its value lies in proof of concept for a new kind of payment system not reliant on third parties like governments, big banks or credit- card companies.

The digital currency has many supporters. One of them is Mike Novogratz, who started with $500 million hedge fund to invest in such assets. Novogratz predicted bitcoin’s price reaching $10,000 by the end of this year. Ronnie Moas of Standpoint Research on Monday raised his 2018 price target for the second time this month, from $11,000 to $14,000.

 

Bitcoin and blockchain resolve gold’s problems of divisibility, ownership and speed of transmission, said Naylor-Leyland, who’s investing through a Swedish-listed exchange-traded fund. “We’re going to revert to sound money,” he said. “If you imagine sound money and blockchain together, there’s quite an exciting potential outcome.”

 

Naylor- Leyland, who’s investing through a Swedish-listed exchange-traded fund, said that Bitcoin and Blockchain resolve gold’s problems of divisibility, ownership and speed of transmission.

 

“We’re going to revert to sound money,” he said. “If you imagine sound money and blockchain together, there’s quite an exciting potential outcome.”

 

His fund has about 80% in gold and silver equities and most of the rest in physical metal.