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TIPS are a risk free hedge against inflation. Bitcoin is ... not that.
by ikeboy 6y ago
TIPS are a risk free hedge against inflation.
Bitcoin is ... not that.
- seleniumBubbles 6y agoThe “inflation protection” provided by TIPS relies on the good-faith reporting of the same government which creates and benefits from the inflation. If inflation as measured by the CPI picks up beyond the single-digit numbers of normal years, do you really expect TIPS to remain honestly valued? Even if that means they outperform all other assets “risk free?”
- ikeboy 6y agoPerfect hedges are impossible. TIPS are a far better hedge for inflation than Bitcoin.