Jim Cramer – $3 Trillion Stimulus Caused Bitcoin U-Turn

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  • Jim Cramer seems to be a Bitcoin convert after saying he is interested in buying some after discussing it with Anthony Pompliano
  • Cramer acknowledged that the coronavirus-related money printing has left him worried for the future
  • Cramer also added that he wants to add a digital investment option for his children

Jim Cramer has said that the $3 trillion stimulus injection announced by the U.S. government was the reason for his U-turn on Bitcoin, as it gave it a definite use case. As we reported last week, Anthony Pompliano tweeted that the Mad Money host had appeared on his podcast, The Pomp Podcast, where he had convinced Cramer to buy Bitcoin. Given that the podcast hadn’t come out at the time it was impossible to verify these claims, but having listened to the podcast it is certainly clear that Cramer was very interested in buying up the asset.

Cramer Says That Bitcoin’s Time Has Come

In a wide-ranging discussion that centred around the importance of hedges against fiat currency in the wake of the U.S. government’s mass fiat money printing in recent months, Cramer acknowledged that his age made him uncomfortable around cryptocurrencies compared to his gold and real estate holdings.

However, he added that he was “fixated on needing to own crypto” because he is worried that his children won’t “understand” gold and will consider it outdated and an analogue solution in a digital world. He also acknowledged that Bitcoin had now come of age in terms of its use case:

For a long time I said…I don’t trade coffee, I don’t trade cotton, and I don’t trade Bitcoin. And that sufficed for a very long time. It worked until the $3 trillion happened. Because we don’t have that. We don’t have $3 trillion in this country.

Fidelity Digital Assets Just Gained a Customer

During the hour-long discussion, Cramer solicited Pompliano’s opinion on Bitcoin’s potential performance compared to gold as well as how to physically buy and store Bitcoin, showing a genuine interest in obtaining the digital asset.

Cramer could not shift completely from his traditional finance roots however and, if the discussions were anything to go by, is likely to purchase his Bitcoin through Fidelity, with whom Cramer said he had most of his investments, illustrating the value of having such services available to institutional buyers.