A truly new and promising asset class rarely emerges. Bitcoin shares several key characteristics with physical gold. It is genuinely scarce, bears no counterparty risk, and offers further diversification for investment portfolios. As a unique ‘currency,’ bitcoin competes with the abundance of euros and dollars.

Bitcoin also presents advantages over gold. It facilitates transparent and verifiable transactions globally through its underlying blockchain technology. Storing bitcoin is both straightforward and cost-effective. Moreover, as bitcoin evolves into a mature asset class, it opens up additional opportunities.

Other developments, such as the introduction of bitcoin ETFs, its acceptance as a means of payment, or adoption by professional investors, could further elevate its price. However, due to bitcoin’s relatively early stage in maturing as an asset class, the associated risks are substantial. The Blokland Smart Multi-Asset Fund addresses these risks by pulling ‘The Emergency Brake’ and exiting bitcoin when market conditions turn unfavorable.