CEO Vaultoro: Keep in fiat only the money you can afford to lose

While gold rose in price today to a 7-year high, bitcoin continues toAttempts to get upabove $10,000, the CEO of the Vaultoro cryptocurrency exchange, Joshua Sigaglia, although he believesthe first cryptocurrency as a good risk hedging tool, doubts that it will be able toThis year, rise to new record highs.

A week after halving bitcoin to thismoment is trading around $ 9600, rising during this time in price by almost 10%. Many, of course, want to see continued growth and new records, but not all experts consider this scenario likely.

“I don’t think that we will see a new price record in2020 year. Most likely, the price has already been laid in halving, and we have already seen how weak hands sold on the news. Correction before halving occurred during a global pandemic that kills financial markets. The latter are trying to save by quantitative mitigation, i.e. printing money "Joshua Sigaglia said in a comment to ForkLog.

He also noted that although on a basic principleBitcoin is indeed a hedging tool against the policies of central banks and Wall Street corporations; over the past few years, it has been observed that its price is to some extent related to the behavior of traditional markets.

“During a global banking crisis orthe collapse of the stock market people need cash to close positions. This means that they sell everything that can be sold, including bitcoin and gold. Nevertheless, Bitcoin will shine a few months after the complete collapse of the stock market. ”- said the head of Vaultoro.

Another problem, he said, is that people wait too long to get out of fiat - with every missed minute they have less and less value for acquiring rarities.

“That's why I look so positively atprecious metals. The masses still do not fully understand bitcoin, but they well understand that gold is a hedge against inflation. As soon as they turned into gold, they can go into another rare asset - bitcoin, because they have already secured their value from that huge wave of inflation looming on the world of fiat, ”Joshua Sigaglia says.

Gold and Bitcoin, he believes, work greattogether, and that was what prompted him at the time to create Vaultoro, which offers the exchange of cryptocurrencies for physical gold, and also became the first exchange implementing the Lightning Network protocol.

“The main thing to remember is that you need to keep as much fiat in the bank as you are willing to lose,”Sigaglia concluded.

In December 2019, Vaultoro launched a successful crowdfunding campaign on the BnkToTheFuture platform, raising a total of more than $ 1.1 million.