Paul Tudor Jones Calls Bitcoin the Strongest Inflation Hedge, Tops Gold

Legendary investor Paul Tudor Jones has ranked Bitcoin above gold as the best inflation hedge available, citing the cryptocurrency’s fixed supply against gold’s yearly production increases. Speaking on the Invest Like the Best podcast Tuesday, Jones made an explicit case for Bitcoin’s superiority during periods of aggressive monetary and fiscal stimulus, pointing to 2020 as the clearest historical example.

“Bitcoin is unequivocally the best inflation hedge that there is – more than gold,” Jones said. While the gold supply grows every year through mining, Bitcoin’s supply cap of 21 million coins is mathematically guaranteed and cannot change. This fundamental difference gives Bitcoin a structural advantage in protecting wealth during inflationary environments.

Jones’s comments on equities painted a starkly different picture. He warned that current S&P 500 valuations echo the 2000 dot-com bubble, with stock market capitalization relative to GDP near historic extremes. The veteran investor said it will be “really hard to make money” in equities over the next decade, a sobering assessment for traditional investors.

The market context adds weight to his Bitcoin thesis. Bitcoin was trading at $77,510 at the time of his comments, with crypto majors showing modest strength ahead of the Federal Open Market Committee meeting. Ethereum sat at $2,330, while Solana held at $85.

Jones also warned that a major market correction could worsen the federal deficit by collapsing capital-gains tax revenues and destabilizing the bond market. This interconnected risk dynamic may be why he sees Bitcoin’s uncorrelated, fixed-supply characteristics as increasingly valuable in a volatile macro environment.

Meanwhile, Robinhood reported first-quarter 2026 results Tuesday that fell short of expectations, primarily due to a steep decline in cryptocurrency transaction revenue. Total revenue came in at $1.07 billion against analyst consensus of $1.14 billion, while net income of $346 million ($0.38 per share) missed estimates by a penny. The stock fell 6% after hours and dropped another 4% in premarket trading, ultimately closing down 10%.

The culprit was clear: crypto transaction revenue plummeted 34% quarter-over-quarter to $134 million and fell 47% year-over-year. This contraction tracked Bitcoin’s 22% price decline over the same period, exposing how tightly Robinhood’s profitability remains tied to cryptocurrency market movements. The company’s exposure to retail crypto traders has become a double-edged sword—lucrative during bull markets but punishing during downturns.

The rest of Robinhood’s business held up reasonably well. Prediction markets, futures, and index options all posted record volumes in Q1, with equities and options growing double digits. However, these bright spots couldn’t offset crypto’s weakness. HOOD stock has tracked BlackRock’s Bitcoin ETF (IBIT) more closely than the S&P 500 for most of 2026, making the company a leveraged play on Bitcoin price action.

Analysts are watching Q2 results closely. If the recent recovery in crypto prices holds, the next earnings print should reflect improved crypto transaction revenue and put less pressure on the stock.

See also: Robinhood Chain Testnet Processes 4 Million Transactions in First Week as Mainnet Launch Approaches

Also, Solana-based token launchpad Pump.fun executed a major token restructuring Tuesday, burning approximately $370 million worth of PUMP tokens, roughly 36% of circulating supply. The burn covered all tokens accumulated through nine months of 100% revenue buybacks, a significant de-risking move for the platform’s tokenomics.

Alongside the burn, Pump announced a new programmatic buy-and-burn mechanism using 50% of future revenue. The protocol will use an irreversible smart contract to lock 50% of all net revenue from the Bonding Curve, PumpSwap, and Terminal into automatic open-market purchases and burns for the next year. The remaining 50% will fund operations and growth initiatives.

Pump.fun has experienced explosive success in recent years. The platform raised $500 million in 12 minutes through its PUMP token sale, surpassed $1 billion in lifetime platform revenue, and generated hundreds of billions in trading volume. However, despite allocating 100% of revenue to buybacks previously, the team said a trust deficit developed around what those accumulated tokens would eventually be used for.

The new structure is designed to eliminate that uncertainty permanently, or at least for the next year. By committing to an irreversible smart contract that automatically burns tokens, Pump.fun aims to restore confidence in the token’s long-term value proposition and address holder concerns about potential dilution from future governance decisions.

See also: Bonk.fun Domain Hijacked in Wallet Drainer Attack on Solana Users