Bitcoin Bulls Novogratz Suggested to Hold More Gold than BTC
One of the biggest Bitcoin (BTC) bulls around the globe, Michael Novogratz, does not suggest that investors pour the majority of their funds into BTC.
Even though Novogratz is confident that Bitcoin performs better than the precious metal, he believes that it is safer to purchase more gold than BTC because of the cryptocurrency’s highly volatile nature.
Novogratz stated, “My sense is that Bitcoin way outperforms gold, but I would tell people to have a lot less Bitcoin than they have gold, just because of the volatility.”
Also, the BTC bull said that Bitcoin is still early in the adoption cycle. This means that the crypto is hard to obtain. But major digital currency will slowly gain momentum. More firms globally are introducing more tools to deliver the mass adoption of crypto.
According to Novogratz, as of now, Bitcoin is still hard to purchase. If the crypto is easier to acquire, the price would be much higher than it was. Also, people can make it easier to buy as they set up funds, and do custodies, and eventually, we’ll get an ETF.
Gold Prices and Coronavirus
After Novogratz announced the prioritization of gold over Bitcoin, gold prices reached a nine-year high. Yesterday, gold broke a $1,800 threshold, hitting its highest price since September 2011. The surging gold prices are seemingly a result of economic fears over the novel coronavirus. Recently, spot gold trades at $1,810, rising about 0.1%.
Novogratz became one of the biggest crypto and blockchain investors. He operates Galaxy Digital, a major crypto venture capital firm and trading desk. Besides investing in the developing industry, Novogratz is bullish on Bitcoin’s price. He expects BTC to reach $20,000 by the end of 2020.
In the previous year, Novogratz believed that institutional interest would drag the Bitcoin price back to $20,000 before the end of 2019. However, the cryptocurrency did not meet these expectations. At the year’s end, it eventually traded around $7,000.
HBZ Investors
Helbiz Inc is currently facing a class-action lawsuit from investors. This is for its plan to end the smart contract underpinning its ERC-20 token, HelbizCoin (HBZ). Initially, the electric scooter firm claimed to have raised nearly $40 million for a cryptocurrency billed to disrupt the ride-sharing economy in 2017.
The plaintiffs filed a memorandum on July 6 to support their request for a temporary restraining order and preliminary injunction against the company. In there, the investors claim to represent about 20,000 individuals facing permanent destruction of their private property.
Moreover, the plaintiffs state that HBZ is orchestrating the destruction of its token to finish the crypto liability and make a way to issue stock in an initial public offering (IPO).
As HelbizCoin plans to terminate the smart contract underpinning HBZ, the order aims to avoid the defendants from damaging the computer code that lets HBZ exists.
Also, the memorandum explains that the contract’s destruction would compromise a trespass and conversion of personal property.
Furthermore, plaintiffs assert that the threatened termination of personal property is a well-established basis for an injunction. They highlighted that they could never restore the contract.
The defendants have then claimed that the non-party HBZ Systems PTE LTD controls the contracts. In response, the plaintiffs are saying that the said representation is false.
