Bill Miller, a legendary investor, told CNBC that bitcoin provides financial protection against financial catastrophe. While the cryptocurrency is trading below its record high, he said he still held a considerable position.

Miller described bitcoin as an insurance plan against a crisis and revealed that he still holds a chunky position in the leading cryptocurrency because it is still in its early days. 

The legendary investor who said that bitcoin holds no intrinsic value incorrectly compared the digital asset with high-value collectibles, such as a Honus Wagner baseball card or Picasso painting. 

According to Miller, Bitcoin protects against financial crises in Lebanon, Afghanistan, and many other countries around the pandemic. 

Several crypto advocates, such as billionaires Mike Novogratz and Charles Hoskinson, have pointed out that bitcoins could have helped people in Afghanistan when the country’s economy collapsed last year. 

The commentators suggested sending digital assets to Afghans would protect them from being controlled by the Taliban.

Miller also said that his comments in a January interview, which meant that he had invested half of his wealth in bitcoins and other cryptocurrencies, had been misinterpreted. However, as the bitcoin price rose, he detailed that he had put only a few percent of his net worth. 

“I think you will see a lot of adoption among foundations and endowments and institutions this year, which will continue,” he said.