Arthur Hayes: Bitcoin Isn't a Get-Rich-Quick Scheme

Arthur Hayes Warns Against Impatience in Bitcoin Investing

BitMEX co-founder Arthur Hayes has a message for Bitcoin investors: patience is key. In a recent interview, Hayes cautioned against expecting immediate returns, emphasizing the long-term value proposition of Bitcoin. He argues that fretting over short-term price movements and comparisons to assets like stocks and gold misses the fundamental point of Bitcoin.

"If you thought you were buying Bitcoin and the next day you were buying a Lamborghini, you’re probably getting liquidated because it is not the right way to think about things," Hayes stated, highlighting the dangers of unrealistic expectations.

Long-Term Perspective

Hayes reiterated that Bitcoin's true potential is realized over extended periods. "I’m sorry that you bought Bitcoin six months ago, but anyone who bought it two, three, five, or 10 years ago, they’re laughing," he noted, addressing the frustrations of newer investors questioning why Bitcoin hasn't reached speculated price targets like $150,000.

Data supports this perspective, with Curvo data showing an average annualized return of 82.4% for Bitcoin over the past ten years.

Dismissing Short-Term Comparisons

Hayes challenged the notion that Bitcoin is lagging behind traditional assets, even as gold and the S&P 500 have recently hit all-time highs.

Currently, Bitcoin is trading below its all-time high of $124,100 (reached on Aug. 14), sitting at $116,007 at the time of publication, according to CoinMarketCap.

Bitcoin's Superior Performance

Hayes argues that Bitcoin's performance surpasses traditional assets when considering currency devaluation. "Bitcoin is the best performing asset when you think about currency debasement ever," he asserted.

He further explained that even though the S&P 500 is up in dollar terms, it hasn't recovered to its 2008 levels when compared to the price of gold. According to Hayes, Bitcoin’s performance is so significant that it dwarfs the performance of other assets when deflated by Bitcoin.