Bitcoin, Gold & Productive Land: Your Shield Against Inflation: Anthony Pompliano

Popular crypto commentator Anthony Pompliano has shortlisted Bitcoin, Gold and Productive land to combat inflation in the uncertain times ahead. He has warned multiple times that the dollarized economy is in decline, and consumers need to protect their wealth by investing in scarce, useful assets that will hold their value well.

Pompliano tweeted:

He used the term “money printer” in his tweet, which has often been used satirically to attack central banks for their money-printing spree. The short tweet sums up the ethos of the crypto-savvy investor class who have been clamoring for better wealth management for the better part of the last decade and a half. He, along with cypherpunks and other maximalists, believes the best defense against the onslaught of inflationary forces is to invest in assets that cannot be conjured out of thin air.

Why Bitcoin, Gold and Land?

This is not the first time Pompliano has stated his preference for these three assets. Bitcoin is obviously the asset of choice for this particular demographic that emerged after the devastating 2008 financial crisis.

Gold is obviously another major asset that has withstood the test of time and has appreciated strongly in the last decade or so. Productive land is another asset with a strong future as the world faces uncertain times, with food insecurity at record levels. 

The Future

The timing of the tweet is crucial, as investors look for orthodox and unorthodox ways to preserve or increase their wealth over time. The effects of large-scale stimulus and debt accumulation cannot be understated. Inflation is reducing the value of savings, and the interest-based economy can hardly keep up with it, let alone deliver a steady net increase. 

Twitter responses to the post varied a lot. A large section of Pompliano’s followers said it was a good trio of assets and highlighted their explosive growth over the years. However, others criticized that it wasn’t easy to hold any of these three assets.

Gold requires custody, and holding it individually can be risky, too, with no yield. Bitcoin, on the other hand, requires a relatively tech-savvy mindset and can be volatile at times. Thirdly, land requires management, faces liquidity constraints, and can be affected by local economic or environmental factors. It is not a walk in the park to take advantage of any of these assets. 

However, given the uncertain future, they are certainly worth considering, as we all know one thing: fiat is likely to get worse over time.