Robert Kiyosaki, the author of the best-selling book "Rich Dad, Poor Dad" and a well-known Bitcoin advocate, has recently sold his Bitcoin holdings for $2.25 million. This move comes as a surprise to many, especially considering his previous bullish stance on the cryptocurrency and his recent prediction of Bitcoin reaching $250,000 by 2026.
Kiyosaki disclosed that he sold his BTC at approximately $90,000 per coin. He had acquired the Bitcoin "years ago" when it was trading around $6,000. The substantial profit from the sale will be reinvested into acquiring two surgery centers and a billboard advertising business. Kiyosaki anticipates that these ventures will generate a tax-free monthly income of around $27,500 by February 2026.
Despite the sale, Kiyosaki maintains a positive outlook on Bitcoin. He stated that he is still very optimistic about Bitcoin and plans to re-enter the market, acquiring more Bitcoin with the positive cash flow generated from his new businesses. He has long supported Bitcoin as an inflation hedge and an asset to counter risks within the traditional financial system.
The announcement coincides with a period of volatility in the cryptocurrency market. Bitcoin had fallen below $85,000, briefly reaching $80,537 on Friday before rebounding to around $84,000. The Crypto Fear & Greed Index, which reflects investor sentiment, has also dropped to a multi-year low, indicating "extreme fear". Bitcoin has experienced a significant decline of over 33% from its all-time high of $126,000 in October, which preceded a major market crash earlier in that month.
Kiyosaki's decision to sell and reinvest in traditional businesses highlights a strategy of diversifying assets and generating cash flow. He is essentially converting his cryptocurrency gains into tangible business assets. This approach aligns with the financial principles he promotes in his books, emphasizing the importance of building wealth through strategic investments and business ownership.
Some analysts remain confident in Bitcoin's long-term potential, with veteran trader Peter Brandt predicting that it will reach $200,000 in Q3 2029. Kiyosaki himself had previously set a Bitcoin price target of $250,000 by 2026 and $27,000 per ounce for gold.
Kiyosaki's actions offer several key investment lessons, including the importance of periodic portfolio assessments and rebalancing, even for assets in which one has strong belief. It also underscores the potential of using cryptocurrency profits to build diversified and sustainable business ventures.
