About five months ago, the VC Chamath Palihapitiya made the case for Bitcoin as the ultimate insurance:
If the government itself just continues to make a string of bad decisions that then have rising consequences… Bitcoin to me is the only think that I’ve seen so far that is really fundamentally uncorrelated to that decision making process and to that decision making body. Because at the end of the day, any other asset class – equities debt, real estate, commodities, they’re all tightly, tightly coupled to a legislative framework and an interconnectedness in the financial markets that brings together many of the governments that are… behaving in this way.
So [Bitcoin] is almost like a bet against the ruling class in some ways and making sure you have a small amount of insurance because… insurance is not something that pays off 50 cents to the dollar, insurance is something that pays off… 1000 bucks to a buck. You want these massive, massive asymmetric payoffs because you want to be sure that a small amount of insurance can basically make you whole…
that’s why I just think that… you should take 1% of your portfolio, put it in Bitcoin, never look at it. Don’t look at the price. Don’t look at anything and hope that that 1% goes to zero. Then you have the 99%. But in the case where that 99% goes to zero, that 1% will probably be worth 120%. And you’ll feel like a genius.