Wolk from Wall Street gave advice to investors and spoke about Bitcoin and Ethereum.
Jordan Belfort, known as “The Wolf of Wall Street,” is no stranger to the world of finance and investing. He became famous for securities fraud and financial crimes committed in the 1990s. Anyway, in a recent conversation with Benzinga CEO Jason Raznick, Belfort shared his thoughts on the hottest topics in the modern financial world - Bitcoin (BTC), non-fungible tokens (NFTs) and penny stocks.
Bitcoin as a “crazy mass delusion” At first, Belfort was skeptical about the cryptocurrency and called it a “crazy mass delusion.” However, his point of view has changed, especially regarding Bitcoin and Ethereum (ETH). He acknowledges his past skepticism, attributing it to manipulations in early crypto markets. Although Belfort remains critical of many cryptocurrencies and projects, he now sees Bitcoin as an elegant solution, especially as a savings. His long-term faith in BTC is based on growing institutional interest, while he takes into account the volatility and uncertainty around the asset.
intended primarily for the benefit of issuers, not investors. While acknowledging the rare success stories, he still warns against the inherent risks and manipulative practices of the market. Belfort emphasizes the difference between share prices and company fundamentals, saying that investors should prioritize the latter rather than be seduced by the current its value. He recommends avoiding risky bets on penny stocks and suggests spreading your investments across different stocks for the long term. Are index funds suitable for long-term investing? While recognizing the potential of some assets, such as Bitcoin and Ethereum, Belfort remains cautious in advocating a prudent approach to investing. It offers a long-term strategy based on the low-cost S&P 500 index fund: The vast majority of your money should be in the S&P 500 index fund. It pays for you to reinvest dividends, has a very low basis price and requires virtually no commissions, like a Vanguard fund or something like that. This is where most of your money should be. Looking ahead, Belfort promises to explore these concepts in more detail in his upcoming book, The Wolf of Investing. Its goal is to provide individual investors with a roadmap that allows them to understand the ins and outs of Wall Street and increase their chance of achieving higher returns.
