CEO of Citadel Remains Unchanged on Bitcoin, Claims He “Still Scratches his Head”
Global financial Institution surpassing $30 billion of assets, Citadel LLC’s CEO, Ken Griffin spoke with CNBC on July 18. The entirety of the interview supposedly revolved around cryptocurrencies, with many references made on Bitcoin. His current position? It still hasn’t changed since that of 2017, that is, a completely negative one altogether.
Griffin was a speaker at New York’s Delivering Alpha Conference. He confessed that he “still scratch[es] [his] head” about cryptocurrencies and believes that the youth population should refrain from investing in it and “do something more productive”.
To back up his statement – one being very arguable – he pointed out the fact that no portfolio manager has ever brought up investing in the digital currencies, or even mention it to name the least.
Since Citadel is a hedge fund itself, Griffin has always been debating on whether or not he should take the cryptos path and include it in his set of investments. However, due to his disbelief, he sees no point investing so much time into it, adding that “There’s no need for cryptocurrencies. They’re a solution in search of a problem.”
This isn’t a first for Griffin, as he previously compared “Dutch tulip mania” to cryptocurrencies arguing that “these bubbles tend to end in tears”
Many traditional firms have been open to the concept of cryptocurrencies and have been looking into ways to integrate the new asset into their businesses. An example of this is Wall Street’s well-known BlackRock, who supposedly announced its consideration into Bitcoin and the types of profits and advantages it can bring.
If Griffin is still unclear as to how cryptocurrencies work, he is not to blame, as many novice and even advanced investors are trying their best to understand it in complete. However, having a negative light on such matters can become a hinderance during one’s learning period. Do you think this could be his case?