Paul Tudor Jones Recommends Bitcoin, Gold and Stocks as Inflation Hedges Amid Mounting U.S. Debt

Renowned billionaire investor Paul Tudor Jones is doubling down on bitcoin as an essential part of any modern portfolio, especially in today’s inflation-prone economic climate.

Speaking to Bloomberg TV, Jones warned that the U.S. economy is locked in what he described as a “debt trap,” one that will likely force policymakers to maintain interest rates below the pace of inflation in order to service the country’s ballooning obligations.

With Federal Reserve Chair Jerome Powell’s term ending next year, Jones predicted that President Donald Trump will appoint a more dovish successor — one inclined to keep monetary policy loose. That shift, Jones suggested, could erode the value of traditional assets and heighten the need for inflation hedges.

“In this kind of environment, you have to own hard assets,” Jones said. “It would be some combination of vol-adjusted bitcoin, gold, and stocks. That’s probably your best portfolio to fight inflation.”

He emphasized the need to size positions appropriately given the volatility differences, noting bitcoin’s price swings are far more dramatic than gold’s. Still, his message was unequivocal: bitcoin is no longer a speculative play, but a necessity.

Jones, who oversees the $16 billion macro hedge fund Tudor Investment Corp., has previously endorsed bitcoin as an inflation hedge, once recommending a 1–2% allocation. While he didn’t offer an updated percentage this time, his conviction appeared stronger than ever.

His comments came on the heels of fresh U.S. CPI data showing a 2.4% year-over-year increase in consumer prices for May — slightly below expectations, but still indicative of lingering inflationary pressures.