Last Thursday (December 7), billionaire investor Mike Novogratz shared his latest thoughts regarding Bitcoin during an interview with Joe Kernen on CNBC’s “Squawk Box“.

Former hedge fund manager Novogratz is the Founder and CEO of Galaxy Digital, “a diversified financial services and investment management innovator in the digital asset, cryptocurrency, and blockchain technology sector.”

When Kernen asked Novogratz if Bitcoin would still act as a safe haven asset if the current speculative bubble bursts, Novogratz replied:

If the speculative bubble bursts, Bitcoin will go down for a while. There’s just too much correlation between people with risk assets. If you have made a ton of money here and you’re losing a ton of money here, at one point you’re going to take some profits where you’ve made money. And so, if the S&P was down 20% in the next three days, Bitcoin would be lower not higher, but there is an adoption cycle going on with institutions wanting to buy this because It’s really hard to see a way out for the central banks and for governments.

It’s really hard to see a way out for this giant deficit that we continue to grow, and it’s growing at [an] accelerating rate. It’s why millennials and Gen Z intuitively are buying Bitcoin because they know they’re kind of screwed. The baby boomers have eaten all their future lunches in lots of ways by building these giant deficits, and so I do think Bitcoin’s going to stay correlated to risk assets in the short run, but that correlation breaks down over time and it’s gonna continue to go up as more people are getting into this community… It’s shocking to me how many institutions are now lining up to try to get Bitcoin into their portfolios.

On December 8, Novogratz explained during an interview with CNN anchor Julia Chatterley why he believes that institutional interest in Bitcoin is only going to increase and how much crypto exposure new investors should have.

Chatterley first asked Novogratz why Bitcoin had gone from a “frontier investment” to a macro asset in the past few years.

Novogratz replied:

Everyone is now looking at Bitcoin as a form of digital gold, or as a hedge against the debasement of fiat currency. The institutionalization of getting good custody, of getting people comfortable that they understood it, that it was safe, happened over the last few years, and now it’s arrived, and we’ve seen nothing but more and more accounts trying to get involved.

Every single crypto business like mine is working at breakneck speed because just onboarding all the new accounts from high net worth to institutions to pension funds to endowments.

He also talked about how he sees crypto going mainstream:

People are going to hold their value, their dollars, their Bitcoin, their movie tickets on their phones, and you know, the banks are going to have to rush into this space, and you’re starting to see it. PayPal was a was a huge event this year… you’re gonna see every single financial institution forced into this space.

For people who have never invested in crypto before, Novogratz used to tell them to put 1-2% of their net worth into Bitcoin, but he says that now he has changed his tune on that a little bit, and these days he feels comfortable advising new investors to put 5% of their net worth into Bitcoin since Bitcoin’s “not going back to zero”–even though it could fall to as low as $13,000–since there is “too much infrastructure” and “too much of a community that believes in this as a store of value”, which is why he believes that Bitcoin is going to have lower volatility in the future.

When Chatterly asked Novogratz how much of his personal net worth was invested in Bitcoin, he replied:

As a proportion of my net worth, overall crypto exposure is probably 50%.