Wake up now. This is the biggest bubble of all time, says Robert Kiyosaki

Robert Kiyosaki became famous for his famous book. But his domain is also economics itself. He is therefore not afraid to come up with a warning that sends chills down the spine. According to him, we are in the biggest bubble of all time!

If I exaggerate a little, in 2022, absolutely everything is going down. But according to Robert Kiyosaki, author of Rich Dad, Poor Dad, the worst could be yet to come.

"I believe the economy is the biggest bubble in the history of the world," he tweeted. "God have mercy on us all."

https://twitter.com/theRealKiyosaki/status/1596229493244317697

Given that many financial assets have gotten cheaper in this market downturn, it may seem tempting to buy the dip. And it probably makes sense, too. But that's not what Kiyosaki is doing. He mentions that he doesn't invest in traditional paper assets.

In general, Kiyosaki is known to prefer other types of assets. This includes precious metals and $BTCUSD+3.4%.

Precious metals - especially gold and silver - are a popular hedge against inflation and uncertainty. They cannot be printed "out of thin air" like fiat and their value is largely unaffected by economic events in the world.

Kiyosaki has been a long-time fan of gold - he first bought the yellow metal in 1972.

"I buy gold not because I like it, but because I don't trust the Fed," he said in an interview last year.

He recommends gold then, too. On the other hand, he seems to be completely out of touch. Apparently, even precious metals are not immune to the sell-offs that have occurred this year. Indeed, the price of gold is down about 4% in 2022, while the price of silver is down almost 9%.

Even the legendary Warren Buffett disagrees with Kiyosaki's view, saying this:

"Gold is a store of value, it's better than banknotes, especially in countries with bad monetary policies. But gold is worth about the same today in terms of purchasing power as it was 100 years ago or 500 years ago. In fact, one could argue that it is actually cheaper, because most people in the world can afford some gold today and 500 years ago very few could afford it."

Warren Buffett has made tens of billions of dollars by investing shrewdly in other companies. He carefully chooses businesses that are well run, have good products that he understands, and have good management. How much do you think he would have today if he had invested all his savings in gold instead of companies sixty years ago? Ten times as much? Twenty times as much? Hardly. And certainly not then more than five million times as much! Nobody has ever gotten rich by investing in gold. It's a way to protect your wealth, not to increase it.

Will it finally work?

As most of you probably know, this isn't the first time Kiyosaki has warned like this.

Last month, Kiyosaki proclaimed that the United States was headed for an imminent economic collapse. He tweeted that in the midst of an economic collapse, investors could keep their capital intact by stocking up on gold, silver and bitcoin.

Kiyosaki advised people to create different sources of income to combat the economic meltdown.

"Gold, silver, bitcoin can protect your wealth ... but not your income. At a time when the economy is collapsing, stock markets are crashing, pensions are crumbling and unemployment is rising, a secondary source of income can provide you with income. Who knows? Your side business may become the next Amazon or Bitcoin. Take care of yourself. Watch out," he wrote on Twitter.

Alluding to a similar economic situation, Kiyosaki said people are not looking at the bigger financial picture. In early March, Kiyosaki mentioned that we are in the biggest bubble in world history, citing bubbles in stocks, real estate, commodities and oil.

So this is not the first time he has warned in this way. His view (though perhaps a little less shot from the hip) is then shared by other prominent names in the financial world: This will be worse than the 1929 crash, warn two legendary investors Burry and Druckenmiller

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Disclaimer: This is in no way an investment recommendation. This is purely my summary and analysis based on data from the internet and other sources(Yahoo, Twitter, Finbold, Benziga). Investing in the financial markets is risky and everyone should invest based on their own decisions. I am just an amateur sharing my opinions.