Apple should invest a portion of its massive cash reserves in Bitcoin, Toroso Investments portfolio manager Dan Weiskopf posted earlier today on the ETF Think Tank website. The sites lead ETF strategists call follows in the footsteps of MicroStrategy CEO Michael Saylor and former Goldman Sachs hedge fund manager Raoul Pal, who both predicted Apple would make a large scale investment in Bitcoin in the upcoming years.
Saylor retweeted and endorsed Weiskopfs piece with the comment that the tech giant could see a 100 billion gain in market cap by integrating Bitcoin with their products and adding it to their holdings. With a market cap north of 2 trillion, Apple AAPL is the worlds most valuable company and has nearly 192 billion cash on hand, according to an earnings report released on Oct. 29.
Weiskopf laid out the case that an investment in Bitcoin of between 10 billion to 20 billion would be more profitable in the long term than Apples plan of carrying on with risky and expensive stock buybacks. He said it would also be a prudent hedge against inflation.
Apples management has a unique opportunity to think outside the box. The companys loyal ecosystem, technological expertise and financial strength means that a relatively small risk towards digital could align it with the most disruptive technology trend since the internet. As an aside, the price of BTC would need to rise 545 roughly 100,000 per BTC in order to approach Apples current market cap of 2.03 trillion….