Horizon Kinetics, with $7bn in assets, bets on bitcoin amid inflation

Co-founder of the $7bn Horizon Kinetics asset manager, Peter Doyle, told the Financial Times that the company has bet on digital assets and real estate to guard against inflation.

“The world needs bitcoin or some cryptocurrency that would not be debased at the whim of banks or politicians. In the future bitcoin will not grow as much and will rise only by the relative magnitude of depreciation of other currencies on an annual basis,” he stated.

According to Doyle, people should have access to digital assets. He also noted bitcoin’s limited supply and the rise in the price of the leading cryptocurrency amid inflation.

“There is no road back after the pandemic; there is a debt problem in the world that means either default or depreciation of the currency,” Doyle added.

In addition to cryptocurrencies, Horizon Kinetics invests in real estate. The company owns stakes in the Texas Pacific Land Fund, Canadian developer Dream Unlimited, and the asset manager Brookfield Asset Management.

“Our investment philosophy is to own companies focused on long-term prospects, and we want investors to think the same,” Doyle explained.

He also added that the best long-term investors, “as a rule, have concentrated portfolios and low asset turnover,” which allows them to increase returns.

Earlier this year, BlackRock chief Larry Fink stated the high potential of cryptocurrencies over the long term. However in July he noted minimal client interest in digital assets.

Follow ForkLog’s bitcoin news on our Telegram — crypto news, prices and analysis.