- Robert Kiyosaki cautions that Bitcoin ETFs are merely paper assets and lack the security of owning actual BTC.
- He emphasizes the importance of self-custody and holding real assets.
- Institutional investors have committed over $54.66 billion to the Bitcoin market through ETFs.
Robert Kiyosaki, renowned author of Rich Dad Poor Dad, has once again sounded the alarm on the limitations of paper-based investments. In a recent message to investors, he drew attention to Bitcoin ETFs and their role in financial planning. While he acknowledged their importance, Kiyosaki stressed that real assets offer more protection and value, especially in turbulent times, than its representative.
Bitcoin ETFs Are Easier, But They’re Just Paper
Kiyosaki noted that exchange-traded funds (ETFs) are a convenient tool for average investors, particularly when it comes to commodities like gold, silver, or digital assets like Bitcoin. Moreover, for beginners, Bitcoin ETFs may provide a simple way to gain exposure to the crypto without the complexities of custody or technical barriers.
In his X post, Kiyosaki stated that owning an ETF is like owning “a picture of a gun for personal defense.” Although the image is of a gun, it won’t be useful, unless it is real. Likewise, the metaphor pinpointed that ETFs may lack the utility and security of the real asset when it truly matters.
Related: Robert Kiyosaki Called Out a Bitcoin Crash, but Here’s His Real Plan
“Know When to Hold the Real Thing”
In Kiyosaki’s view, there’s a crucial difference between having access to an asset and truly owning it. He emphasized that there are times when it’s far wiser to hold physical gold or silver or to self-custody your Bitcoin rather than rely on ETFs, which are subject to intermediaries and custodians.
This perspective aligns with Bitcoin’s core ethos of decentralization and self-sovereignty. Many in the crypto community agree that “not your keys, not your coins” remains a valid principle, especially during times of market stress or geopolitical tension.
Related: ‘Savers Are Losers’: Kiyosaki’s Case for Buying a Bitcoin Dip
As of today, institutional investors have committed over $54.66 billion to the Bitcoin market through ETFs since the launch of spot ETFs in January 2024. Data shows that Bitcoin ETFs now manage 1.48 million BTC worth over $171 billion in assets.
Among the largest holders in the ETF is BlackRock, which manages 736,950 BTC worth $85.25 billion for its clients, while Fidelity and Grayscale, hold 204,621 BTC and 182,359 BTC, respectively. Considering its widespread adoption, Kiyosaki emphasized that ETFs would be more appropriate for early investors than to above average members.
As Bitcoin ETFs continue to attract billions in inflows and institutional demand surges, Kiyosaki’s comments remind investors that while ETFs offer convenience and access, owning the underlying asset may provide superior security, control, and peace of mind.
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