As governments around the world spiral deeper into debt and inflation shifts from an economic glitch to an official policy tool, trust in fiat currencies is eroding at record speed. Central banks, once the guardians of monetary discipline, now seem more like overindulgent enablers of runaway spending. Their credibility? Fading fast.
Over dinner recently, a good friend joked that central banks are doing such a fantastic job of breaking the system that alternatives like gold and bitcoin no longer need a marketing team. It is funny because it is true. In a world that feels increasingly unhinged, assets that offer decentralization, independence, and perceived real value are rising to the occasion.
I pointed out to her that despite hovering near its all-time high, bitcoin’s behavior in 2025 has surprised some people, it has been remarkably well-behaved. Volatility is down and that is not a bug. Meanwhile, institutional adoption is accelerating.
She, like some of my other clients, believe that bitcoin is no longer just a speculative side bet but an emerging alternative asset class in its own right. I have long recognized these trends. That is why several of my models include exposure to both gold and crypto not because they are fashionable but because I believe diversification still matters even when the monetary authorities forget what that word means.
Finally, it was a good catch-up with my friend, equal parts laughter, concern, and clarity about where things are heading. We both agreed that diversification is not just strategy, it is survival.