Armstrong: BTC Hasn’t Recognized “Digital Gold” Yet
While Coinbase CEO Brian Armstrong made an important Bitcoin (BTC) prediction, he made notable statements about the leading cryptocurrency.
Coinbase CEO Brian Armstrong has announced his prediction for the history of global adoption of cryptocurrencies. According to him, the crypto industry is still in its early days. Speaking on the new episode of Coinbase’s “Around the Block” program, Armstrong says that the market size of Bitcoin is not big enough for BTC to act as a safe haven. Many advocate Bitcoin as such an asset. Despite this, Armstrong also thinks that Bitcoin will successfully complete its mandate as the “new gold” asset class.
Armstrong states that this will happen in the next 10 years. In his description he points out:
“Usually when macro environments fall, there is an escape to safety. In traditional economies it was always gold, commodities and the like. I noticed this during the current declines. The crypto economy is proportionately not a large enough part of the global economy and the wider economy. In other words, it has not yet reached a size in the sense of digital gold that people will prefer Bitcoin as an escape to security.
I think this will change over time. We can see that in the next five or ten years. Then the crypto market will be a proportionately larger part of the global economy. Thus, people will take shelter in Bitcoin as a truly new kind of gold. But that hasn’t happened yet. I confess that I trusted that Bitcoin could have a chance to be a measure against inflation in this period. I was thinking that in this macroeconomic situation, it might attract more interest in Bitcoin. But it looks like we’re a little early.”
Armstrong thinks that Bitcoin and cryptocurrencies could follow a similar curve to e-commerce adoption. He also states that he thought it was too early when he founded Coinbase 10 years ago. However, he states that at the point we have reached, it is still in the early stages. Finally, he states that in 10 years, Bitcoin and crypto will become the main part of the macro economy.
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