{"id":212515,"date":"2017-11-23T10:46:03","date_gmt":"2017-11-23T08:46:03","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=212515"},"modified":"2017-11-23T10:46:03","modified_gmt":"2017-11-23T08:46:03","slug":"crypto-bulls-see-bitcoin-at-10000-by-year-end","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/banking\/212515\/crypto-bulls-see-bitcoin-at-10000-by-year-end\/","title":{"rendered":"Crypto bulls see Bitcoin at $10,000 by year end"},"content":{"rendered":"
\n

The Old Mutual Gold & Silver Fund, which manages $220 million of mostly precious metal equities, is jumping on the bitcoin wagon.<\/p>\n

The fund started buying in April with a mandate to allocate as much as 5 percent to cryptocurrencies, according to its manager, Ned Naylor-Leyland. The idea is to take profits from bitcoin as it advances to reinvest in gold and silver assets, he said in an interview on Nov. 16.<\/p>\n

\u201cBitcoin was explicitly designed to be digital gold,\u201d said Naylor-Leyland. \u201cSo if you\u2019re going to have a small proportion of a fund in bitcoin, it should be in a gold fund, because that\u2019s exactly the point. It\u2019s about bringing the ownership of disciplined money into the modern world.<\/p>\n

“Bitcoin is paving the way for the reintroduction of gold as global money.\u201d<\/p>\n

Bitcoin\u2019s up more than eight times this year to top $8,000 as entrepreneurs in the field say its value lies in proof of concept for a new kind of payment system not reliant on third parties like governments, big banks or credit-card companies.<\/p>\n

By contrast, gold\u2019s held in a tight range since February, with a short break upward in September as US and North Korea tensions spiraled.<\/p>\n

The virtual currency has many backers and detractors. Mike Novogratz, who\u2019s starting a $500 million hedge fund to invest in such assets, said bitcoin will likely end the year at $10,000.<\/p>\n

Standpoint Research\u2019s Ronnie Moas on Monday raised his 2018 price target for the second time this month, to $14,000 from $11,000.<\/p>\n

But Goldman Sachs Group Inc last month\u00a0 said gold wins out over cryptocurrencies when assessed\u00a0on most of the key characteristics of money.<\/p>\n

Bitcoin and blockchain resolve gold\u2019s problems of divisibility, ownership and speed of transmission, said Naylor-Leyland, who\u2019s investing through a Swedish-listed exchange-traded fund. \u201cWe\u2019re going to revert to sound money,\u201d he said. \u201cIf you imagine sound money and blockchain together, there\u2019s quite an exciting potential outcome.\u201d<\/p>\n

His fund\u00a0has about 80% in gold and silver equities and most of the rest in physical metal.<\/p>\n

Bitcoin traded at about $8,250 as of 1:26 p.m. in Singapore on Thursday, some $120 short of its record on Tuesday.\u00a0 Spot gold was at $1,289 an ounce.<\/p>\n

\"\"<\/a><\/p>\n

\n

Read: Bitcoin reaches $8,000 for the first time<\/a><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The Old Mutual Gold & Silver Fund, which manages $220 million of mostly precious metal equities, is jumping on the bitcoin wagon.<\/p>\n","protected":false},"author":59,"featured_media":212409,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[961],"tags":[5537],"class_list":["post-212515","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banking","tag-bitcoin"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/212515","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/59"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=212515"}],"version-history":[{"count":2,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/212515\/revisions"}],"predecessor-version":[{"id":212525,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/212515\/revisions\/212525"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/212409"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=212515"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=212515"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=212515"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}