Bitcoin has 'significant upward potential' as digital gold, says fund run by Bill Miller

Miller Opportunity Trust, a value fund overseen by the firm founded by investor Bill Miller, touched on its exposure to bitcoin in an investor update on Friday. 

Highlighting its move to invest in Grayscale's Bitcoin Investment Trust earlier this year, the firm said:

"In the quarter, as bitcoin fell, the trust traded at one of its larger discounts to its underlying holdings in bitcoin providing additional upside potential. We believe Bitcoin has significant upside potential as a form of "digital gold". With gold's market capitalization greater than $11T, Bitcoin's current cap close to $600B would have a long way to go to catch up. We are early in a continuing adoption curve and Bitcoin will be volatile but we think the risk-reward is attractive."

As reported late last month, MOT owns 1.5 million shares in BIT. 

In January, Miller penned a defense of bitcoin, using somewhat similar language in a letter to investors.

"Now that we know what Bitcoin is, why might someone want to own some? The short answer is that there is no other asset that combines Bitcoin’s liquidity with its upside potential," he wrote at the time.