Jim Cramer Advocates for Cryptocurrency as a Hedge Against National Debt

Jim Cramer's Defense of Cryptocurrency

CNBC’s Jim Cramer defended his stance on cryptocurrency during a recent segment, emphasizing its potential as a hedge against the growing national debt. He stated, "National debt worries are never going to go away" and believes that owning some cryptocurrency can protect investors from governmental fiscal mismanagement.

Cramer expressed his long-standing support for crypto, highlighting that it could serve as a protective asset against the ballooning deficit. He remarked, "While there’s no proof crypto can protect you from anything — at least not yet — it’s a plausible story… sometimes that’s all you need in this business."

Many on Wall Street view cryptocurrency’s fixed supply as a safeguard against the devaluation of the dollar due to excessive federal spending. Cramer acknowledged the validity of this hedging argument, though he cautioned that cryptocurrency is still relatively new and lacks a proven track record.

Cramer also voiced skepticism regarding the government’s ability to effectively tackle the debt crisis. He believes that while legislators can balance the budget, they often lack the political will to make unpopular decisions such as raising taxes or cutting spending.

"I think bitcoin, ethereum, and perhaps other cryptocurrencies deserve a spot in your portfolio, too," Cramer concluded, hinting that his perspective might shift if the national deficit is brought under control.