Press "Enter" to skip to content

Public pensions risk everything, start piling money into crypto… playing roulette with your retirement

Public pensions risk everything, start piling money into crypto… playing roulette with your retirement

by: Ethan Huff
NaturalNews.com

Monday, March 04, 2019

As the price of Bitcoin continues to hover substantially below $4,000 per coin, after reaching earlier all-time highs of around $20,000 per coin, venture capitalists appear to now be swooping in for the kill as they launch brand new crypto schemes using people’s pension funds as financial backing.

According to reports, a previously obscure finance firm known as Morgan Creek Digital recently decided to launch a crypto-based venture that includes two U.S. pension funds as “anchor investments,” which apparently is the first this has ever been done.

The $40 million endeavor is said to be backed not only by these dual pension plans, which are managed by Fairfax County Retirement Systems (FCRS) in Virginia, but also by an insurance company, a university endowment, and a private foundation.

As FCRS and many other underfunded public pension funds across the United States struggle to maintain their payouts in the face of recipients living longer than expected, some of them are succumbing to the siren’s song of crypto – which could end up backfiring in a major way, should said cryptos collapse to zero, as we’ve long been warning.

In addition to proposing an increase in the retirement age, some of these pension funds are now flirting with the idea of putting people’s retirement money into crypto schemes with an “attractive asymmetric return profile.”

“There’s a belief in the institutional world that if the industry will be around for a long time, it will be very valuable,” Anthony Pompliano, founder of Morgan Creek, told reporters in an interview. “The smart money is not distracted by price but looks at the long-term trends, and believes they’re betting on innovation as a great way to deliver risk-mitigated returns.”

The Rest…HERE

Source: Public pensions risk everything, start piling money into crypto… playing roulette with your retirement

Mission News Theme by Compete Themes.