AInvest Newsletter
Daily stocks & crypto headlines, free to your inbox
Robert Kiyosaki, the author of Rich Dad Poor Dad, has reiterated his skepticism toward
, gold, and silver ETFs, cautioning investors about the perceived risks of holding paper-based representations of physical assets. In a recent statement, Kiyosaki likened ETFs to “a picture of a gun for personal defense,” emphasizing that these instruments lack the tangible security of owning the underlying assets directly [1]. He argues that while ETFs lower barriers to entry for investors, they introduce counterparty risks and expose holders to intermediaries such as custodians, who may hold the actual assets [2].Kiyosaki’s critique aligns with his broader advocacy for direct ownership of real assets. In May, he advised investors to abandon “fake money” and prioritize bearer assets like BTC, gold, and silver to counteract inflation and the weakening U.S. dollar [3]. He warned that in times of financial crisis, paper claims—such as ETFs—could prove insufficient, as their value may collapse alongside centralized systems, whereas physical assets retain intrinsic worth [4]. This stance reflects his longstanding belief in the importance of tangible ownership for financial resilience.
The investor’s remarks have sparked debate. Critics highlight structural safeguards in ETFs, including legal requirements for custodians to hold assets separately from the issuer’s reserves. Senior Bloomberg ETF analyst Eric Balchunas noted that ETFs “legally have to put the assets with the custodian,” ensuring a one-to-one ratio between shares and the underlying assets [5]. He emphasized that the ETF sector, with a 30-year track record, has a “sterling reputation” and robust mechanisms to prevent fraud [6]. Balchunas also argued that ETFs could be safer for wealthy Bitcoin holders, who face risks like “wrench attacks” or ransom attempts when self-custodizing assets.
Despite these assurances, Kiyosaki remains unconvinced. He criticized ETFs for creating ambiguity in asset ownership, particularly during market volatility, when reliance on custodians could leave investors vulnerable [7]. His warnings coincide with a surge in ETF inflows for Bitcoin, gold, and silver in 2025, with these assets rising over 28% year-to-date as investors seek safe-haven options [8]. However, Kiyosaki contends that physical ownership—whether gold, silver, or Bitcoin—is indispensable in a crisis, stating, “You need real assets, not a picture of them [9].”
The debate underscores a philosophical divide in investing strategies. ETF proponents emphasize their role in diversification, liquidity, and accessibility, while critics like Kiyosaki prioritize direct ownership to mitigate systemic risks. As ETF inflows grow, his advocacy for tangible assets serves as a counterpoint to the mainstream embrace of paper-based investments, reflecting broader discussions about the balance between convenience and security in financial markets.
Sources:
[1] [Robert Kiyosaki Warns: ETFs Are Just 'Pictures of a Gun'](https://coincentral.com/robert-kiyosaki-warns-etfs-are-just-pictures-of-a-gun-why-he-still-prefers-real-gold-and-bitcoin/)
[2] [Bitcoin News Today: Kiyosaki Warns Bitcoin ETFs Pose](https://www.ainvest.com/news/bitcoin-news-today-kiyosaki-warns-bitcoin-etfs-pose-centralization-ownership-risks-2507/)
[3] [An ETF is like having a picture of a gun for self-defense](https://m.economictimes.com/markets/stocks/news/an-etf-is-like-having-a-picture-of-a-gun-for-self-defense-says-rich-dad-poor-dad-author-robert-kiyosaki/articleshow/122902112.cms)
[4] [Bitcoin, Gold, and Silver ETFs Are Booming in 2025, but](https://www.xt.com/en/blog/post/bitcoin-gold-and-silver-etfs-are-booming-in-2025-but-paper-isnt-enough)
[5] [Eric Balchunas on ETF Security](https://cointelegraph.com/news/robert-kiyosaki-warns-risk-paper-btc-gold-silver)
[6] [ETF Sector Reputation](https://cointelegraph.com/news/robert-kiyosaki-warns-risk-paper-btc-gold-silver)
[7] [ETF Volatility Risks](https://coincentral.com/robert-kiyosaki-warns-etfs-are-just-pictures-of-a-gun-why-he-still-prefers-real-gold-and-bitcoin/)
[8] [ETF Inflows and Returns](https://www.xt.com/en/blog/post/bitcoin-gold-and-silver-etfs-are-booming-in-2025-but-paper-isnt-enough)
[9] [Kiyosaki’s Crisis Readiness](https://thetradable.com/crypto/bitcoin-btc-etfs-vs-real-ownership-kiyosaki-warns-investors-about-paper-assets-2)
Quickly understand the history and background of various well-known coins

Dec.02 2025

Dec.02 2025

Dec.02 2025

Dec.02 2025

Dec.02 2025
Daily stocks & crypto headlines, free to your inbox
Comments
No comments yet