Video News/In Focus with Jeremy Szafron

(Kitco News) - China has added to its gold reserves for 22 straight months while banning its citizens from trading Bitcoin, and the reason comes down to control, according to Cory Klippsten, founder and CEO of Swan Bitcoin. Speaking with Kitco News, Klippsten said there is a "dark logic" behind Beijing's gold buying: gold is hard money a state can still police. Because gold is physical, he argued, "when you're traveling across a border or going through customs, they can see whether you're bringing gold," which is what has historically concentrated it in vaults and keeps it within reach of the state. He noted Beijing is comfortable letting its citizens buy gold, even opening a pilot for insurers, while doing almost everything it can to discourage Bitcoin. Klippsten also pointed to the bond market, where the 10-year Treasury yield recently touched its highest level since 2002, arguing the era of cheap money is over. He attributed rising yields to what he called "four horsemen," war, growth, debt, and Japan, and said the shift is pushing investors toward hard assets.