Robert Kiyosaki is an investor, educator, entrepreneur, and a popular author of one of the best-selling finance books of all time, Rich Dad, Poor Dad. He is a common guest on many media outlets and hosts the podcast Rich Dad Radio Show, where he and his guests discuss matters related to finance and banking of the global economy.
Kiyosaki strongly advocates entrepreneurship and has established an empire of financial education through courses, coaching, and board games. He plays a pivotal role in the financial and investment space. He has reiterated his support for digital assets such as Bitcoin as rising inflation rates threaten to worsen global living standards.
So, does Kiyosaki endorse Bitcoin, and is his endorsement a compelling reason for investors to chip in for Bitcoin investments?
In this article, we will discuss Robert Kiyosaki’s Bitcoin advocacy, investment philosophy, impact on Bitcoin prices, and whether potential investors must buy Bitcoin based on his endorsements.
Robert Kiyosaki’s Bitcoin Advocacy
Shifting from traditional to contemporary, Robert Kiyosaki is a staunch supporter of Bitcoin, the world‘s most popular and first crypto. He refers to the digital asset as people’s money. In various ways, Kiyosaki admires the qualities of Bitcoin and finds them similar to that of gold.
Bitcoin, like gold, is limited in supply, with only 21 million BTC tokens in circulation. The scarcity of Bitcoin is one major factor that underpins BTC value. In addition, Bitcoin’s decentralized nature makes it unaffected by manipulations by central banks and governments, a quality that the author greatly appreciates.
Nevertheless, the digital asset has been criticized for its risks and controversies. Being a highly volatile and a facilitator of illegal activities due to anonymity features, many have disregarded Bitcoin. Despite these drawbacks, Kiyosaki remains a strong Bitcoin proponent. He considers Bitcoin’s volatility an opportunity for investors to profit from buying low and selling high, not a flaw.
Additionally, Kiyosaki believes Bitcoin is more than a simple digital asset. He considers it a revolutionary mechanism with great potential to disrupt conventional financial systems. Through his interviews, tweets, and public statements, Kiyosaki has expressed his bullish stance on Bitcoin.
Kiyosaki’s Investment Philosophy
Kiyosaki’s investment philosophy is based on generating cash flow, irrespective of the asset classes he invests in, including real estate, gold, and Bitcoin. He does not advocate putting all investments in a single basket. Kiyosaki recommends portfolio diversification that includes both digital assets and other investment types.
Kiyosaki has often suggested that the Gold-Bitcoin ratio in an investor‘s portfolio must be determined by his risk tolerance, understanding of digital assets, and financial goals. For instance, risk-averse investors might go for larger gold investments since they are less volatile. On the contrary, investors who are comfortable with high risk and understand the dynamism in the crypto market may go for larger Bitcoin investments in their portfolio.
Kiyosaki also talks about Bitcoin’s pivotal role, suggesting that crypto is a hedge against geopolitical turmoil and inflation. He envisions Bitcoin’s potential to skyrocket to $1 million if the bonds and stock market face a catastrophic bear market.
Impact on Bitcoin Prices
Kiyosaki expressed his views on fiat currencies in his recent podcast interview, where he criticized fiat currencies like the dollar, pesos, and rupee and called them mindless investments. He defines Bitcoin as people‘s money, whereas gold is God’s money, ignoring fiat currencies by calling them fake.
Kiyosaki is bullish on Bitcoin and gold and recommends these financial instruments as the perfect option for navigating the most volatile periods. He predicts the BTC price to reach $100,000 amidst the rising tensions on a global level.
In August 2023, he tweeted that if the bond and stock market crash, Bitcoin and gold prices will skyrocket, and if the World economy crashes, Bitcoin will reach $100,000. He also emphasized that investors of the fake US dollar would suffer the hardest, expressing his deep concern for families affected by high degrees of debt.
Considerations for Potential Investors
According to our BTC prediction, Bitcoin is expected to be around $64,448 on average in 2024, with minimum and maximum prices ranging between $50,998 and $77,898 in 2024.
Investing in Bitcoin has several benefits, such as high leverage, low trading costs, no global restrictions, and many more. However, there are also risks associated with Bitcoin investments, such as volatility danger, security risks, leverage risks, and differing exchange rates.
The entire crypto market is risky, no matter who endorses it. It is not a safe place for all investors as it has massive price swings in the blink of an eye. More regulation, inflation, and recession fears have only added to this volatility, making it riskier. Investors must consider conducting independent research and understanding personal risk tolerance before investing in crypto.
To conclude, Robert Kiyosaki is a well-known influencer in the financial industry who has built a successful and lengthy career around the financial education of millions worldwide, teaching them how to build wealth and live like a rich dad. He is a leading proponent of Bitcoin but has received lots of criticism. However, he remains one of the best sources for valuable advice on investing and business.
Nevertheless, although he finds Bitcoin a relevant investment channel, potential investors must understand the associated risks in Bitcoin trading. Dealing with a decentralized currency like Bitcoin can be advantageous as it offers global transactions at low costs, but considering the risks, it can be a loss-making asset. Hence, it is essential to note that although many popular figures or influencers continue to support Bitcoin, individuals must conduct their research before making investment decisions.