Hold Two Payrolls Cash in Bitcoin as Hedge: VC Tells Businesses

• Tim Draper tells firms to diversify their cash management plans in Bitcoin.
• “Governments are taking over banks, and governments are at risk of becoming insolvent,” the VC wrote.
• Bitcoin has hit a nine-month high as the US banking sector battles a liquidity crunch.

Tim Draper, a billionaire venture capitalist, has advised companies to diversify their cash management plans and keep some of their money in Bitcoin (BTC) and other cryptocurrencies. According to a snapshot shared on Twitter, Draper asked businesses to hold at least two payrolls worth of cash in Bitcoin.

The announcement comes amidst the rising economic unpredictability in the US following the collapse of three prominent banks. “Business can no longer rely on one bank or governing body to manage their cash,” Draper wrote.

Draper now advises his companies to hedge against bank failure with Bitcoin. https://t.co/bZKHrhIt2g pic.twitter.com/tvIkt7EY7m

— Balaji (@balajis) April 1, 2023

Furthermore, the venture capitalist underlines the necessity for these backup strategies, noting that they can assist companies in surviving financial crises. In his words:

For the first time in many yea…

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