Robert Kiyosaki, a well-known investor, has issued a warning about a potential disaster that is brewing in the financial markets. A recent edition of “The Rich Dad Channel” featuring Kiyosaki, disclosed that an impending “economic tsunami” is on the way. According to him, investors in the United States and other countries across the world will feel the effects of this tsunami, which is a metaphor of an impending financial catastrophe.

Kiyosaki Expects Economic Catastrophe

Kiyosaki brought attention to the inversion of the yield curve and how this phenomenon may lead to a recession. The U.S. Treasury Bill with a maturity of three months has been generating a higher rate of return on investment than the Treasury Note which has a maturity of ten years.

Read More: Will This Latest Development Take Cardano (ADA) Price Past $1?

Kiyosaki asserted that throughout the course of economic history, such an inversion has been regarded as evidence of an impending economic downturn. Kiyosaki and Hammon — who was a guest on the interview — drew parallels between the inversion and a tsunami warning system.

Kiyosaki Advocates Against Risk Assets

The 76 year-old author also scrutinized yesterday’s Federal Reserve’s pivot following the FOMC minutes published last night. Although investors celebrated the Fed’s pivot, Kiyosaki however, urged his 3 million followers not to interpret the pivot as a sign of investing in risky assets like Bitcoin.

In order to protect from counterparty danger, the American investor suggested that users should have a big cash position, invest 10% of their capital in physical gold, and recommended buying short-term treasuries.

The “Rich Dad Poor Dad” author also touched upon United States’ plans for issuing a Central Bank Digital Currency (CBDC), which according to him is an invasion of privacy. Kiyosaki opines that the CBDC would serve as a gateway for tracking user activity, monetary spends and other covert operations by the government. Instead, he finds Bitcoin as a better alternative which he has advocated multiple times before.

Currently, the price of Bitcoin is exchanging hands at $30,289 which represents an increase of 1.11% over the past 24 hours as opposed to a gain of 8.16% recorded over the previous seven days.

Also Read: Apple Grants Rare Approval To This DeFi Protocol; More Crypto Apps To Follow?

Pratik has been a crypto evangelist since 2016 & been through almost all that crypto has to offer. Be it the ICO boom, bear markets of 2018, Bitcoin halving to till now – he has seen it all.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

Following the successful Ethereum Merge, most altcoins that are not tied to Ethereum in any way and cannot be mined lost the spotlight on the market and took a greater hit after the unexpectedly high CPI data release. Shiba Inu, unfortunately, is one of those assets.

In the last three days, Shiba Inu has been consolidating around the fundamental support level which, if broken, could send the token back to this month or even year’s lows. Such a dynamic might transform into a catastrophe for the meme-based token as investors most likely will not be able to take yet another plunge.

Since June 2022, SHIB was able to reclaim more than 20% of its value, bringing some hope to mid- and long-term investors who have been coping with losses since October 2021. Despite redistribution among holders and the fundamental growth of the project, the speculative trading volume is still a large part of the token’s inflows.

According to volume profiles, Shiba Inu is not showing any signs of a fading, meaning the current consolidation or low-volatility ascending trend is going to continue in the midterm. The main reason for it is a lack of demand for high-risk assets and volatile tokens.

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It is fair to say that Shiba Inu is slowly repeating the fate of Dogecoin, which appeared as a joke, attracted enormous capital and went through a number of rallies that brought some investors serious profits. But as time went by, the lack of usage and fundamental value led to prolonged consolidation or massive corrections that pushed investors away from the memecoin.

At press time, Shiba Inu is changing hands at $0.000012 with a 1.7% correction in the last 24 hours.

With just weeks to go before the completion of a major technological upgrade, Cardano (ADA -0.35%) experienced a highly public failure during the testing process. Social media went into full speculation mode, and within 24 hours, there were new reports of Cardano’s falling price. Depending on which sources you read, it might have seemed Cardano was going to implode after developers found a bug during testing. 

But guess what? I’m buying Cardano because I still believe in the long-term vision of the crypto project and its track record of previous upgrades. This was simply a case of how fear, uncertainty and doubt (FUD) in the marketplace can absolutely wreck a crypto for no reason.

Cardano vs. FUD

After a storm broke out on Twitter, Cardano co-founder Charles Hoskinson felt compelled to upload a detailed, 24-minute YouTube video about what had gone wrong. He explained at great length how a relatively minor event — the uncovering of a bug during the testing process — could end up creating long-term damage to the Cardano blockchain project in terms of investor and developer perceptions.

Image source: Getty Images.

Hoskinson spelled it out perfectly: This was the type of test failure that should have been handled internally within the Cardano community. As he pointed out, this was not some hack or malicious exploit. No funds were lost, no keys were stolen, and no nodes of the blockchain collapsed. It was simply a failure during the test process, something that can happen during any technological upgrade.

Yet a key Cardano developer used a popular podcast to share the story with the public. As a result, says Hoskinson, Cardano is facing long-term damage to its reputation. Once you let the genie out of the bottle, it’s hard to put it back in. Ultimately, for Cardano it could mean lower adoption rates and less commercial interest over the next few months. Brands that might have launched non-fungible token (NFT) projects on Cardano, for example, might now be less willing to do so. Hoskinson called this a “self-inflicted wound,” and he’s right. There was no need for this to happen.

Complicating matters is the fact that rival Ethereum (ETH 1.29%) is attempting a major technological upgrade (the Merge) of its own at the same time. So much attention has been garnered by Ethereum that Cardano developers — usually careful and very measured — may have rushed things in trying to nail this upgrade. And when things didn’t go as planned, developers might have panicked. And thus the story was born.

Track record of previous upgrades

One major point in Cardano’s favor is its track record of completing similar types of technological upgrades. While the current Vasil upgrade is more technologically challenging than the recent upgrades that brought innovations like smart contracts, it is still following the Cardano script for bringing complex new upgrades to market. Within the crypto industry, Cardano is well known for its peer-reviewed, academic approach to software upgrades. It is a slower process than many people like to embrace, but it has also turned Cardano into a reliable blockchain that is sustainable and inexpensive.

As a result, there is no need to panic over Cardano. Its software upgrade process is specifically designed to avoid all this alarmist developer talk. In this case, a Cardano developer stepped outside the normal channels and sensationalized a minor issue. Remember, blockchain development is decentralized, so there’s no headquarters that can act to contain all leaks or limit points of contact with the media.

If anything, this fiasco might be a buying opportunity. Cardano is trading near $0.46 these days, down from a high of almost $0.60 earlier this summer. I have faith in Cardano’s founder and the underlying development approach of the Cardano blockchain. Sure, the pace of development has been slower than desired, and every new setback seems like an eternity, but Cardano is still one of the best blockchain projects out there.