Wey Fook Hou, the Chief Investment Officer of Singapore’s largest bank DBS recently shared a note with the investors affirming the futuristic reputation of Bitcoin (BTC) and mentioning it as a better and reliable store of value in comparison to the United States dollar. Although Bitcoin has been facing a tough scenario and shown significant reddish behavior by slumping to below $40,000, he still calls it a better asset as rising and fall is part of the game. In a note to investors, he calls Bitcoin a “better and effective store-of-value” and favors BTC than US Dollar and any other fiat currency.
DBS is acknowledged as the largest bank of Singapore that negotiates that how central banks of different countries keep on injecting the relevant fiat currencies into the economy, but it is of prime importance to note that Bitcoin can do well as compared to other fiat currencies and mentions BTC as the best alternative option available for the investors, who are intended to rely on and trade with BTC instead of US dollar and other fiat currencies.
It was disclosed recently that there had been significant meteoric expansion recorded to balance the sheets of various and prominent central banks like People’s Bank of China (PBoC), the Bank of Japan (BOJ), the European Central Bank (ECB), and the United States Federal Reserve. Such a trend indicates the Bitcoin demand and proves it to be the best available option against the fiat currencies–and potential, faithful and reliable store-of-value than the physical United States Dollar.
DBS believes that the decentralized nature of Bitcoin and limited supply makes it a more reliable and stronger store-of-value asset for the investors. Moreover, DBS stated that even diamonds would not be able to fade the shine of Bitcoin in the crypto market as it has the ability to prove itself as a worth demanding and trading asset and, more importantly, portability value. Bank believes that Bitcoin (BTC) can help out the crypto investors to diversify the relevant portfolio as it has a lower correlation as compared to other assets.
Although, Musk stepped back from dealing in BTC for Tesla due to environmental issue and China’s extended crackdown has affected the BTC price, but still, DBS predicts that apart from few other liquidity threats in the future, Bitcoin is capable of achieving the leading, reliable status as it benefits to many extents and even still resting on the first position and leading cryptocurrencies. DBS concludes that apart from the relativity uncertain nature of Bitcoin, it would be the leading asset in the monetary revolution.