Bill Ackerman, founder and CEO of Pershing Square Capital Management, talked about Bitcoin in an interview on Wednesday, saying he would not invest the company's assets in the cryptocurrency because it has no intrinsic value and lacks understanding of the technology behind it.
"I think cryptocurrency is a fascinating phenomenon," Ekman said. I think it's a great technology. I regret not understanding it. It's one of the best speculations ever. But personally, I don't want to invest any meaningful assets here. Therefore, I will not invest in the assets of our company. "
Bitcoin, he added, "has no intrinsic value." For me, intrinsic value is driven by cash generation. You must be able to establish a discounted cash flow to calculate (its intrinsic value). "
"if a friend invests a lot of his net worth in one or more cryptocurrencies, I'm worried and I want them to put some money into something more durable," Ekman said. "
Ekman also warned in the interview that inflation may not be temporary and that the Fed may have to raise interest rates.
He also revealed that his fund recently bought a 6 per cent stake in Domino pizza (Domino's Pizza).