Bitcoin (BTC) will soak up “all the gains of prosperity” in the future and leave those with no exposure as a result, a new prediction says.
In a Twitter thread on July 8, investor Luke Broyles gave a bold vision of how Bitcoin could become “the base currency of society.”
Investor tells would-be Bitcoin buyers: “Take zero”
What began as a commentary on how artificial intelligence (AI) would welcome BTC soon turned into a dramatic outline of how it could end up as the world’s go-to currency.
For Broyles, Bitcoin’s key attribute — a fixed, immutable supply — makes it unique as a future-proof asset.
“Every innovation (even AI) will rush as quickly as possible to force prices down. Every country will rush as quickly as possible to print money to force prices down and keep credit markets open . Both of these forces add speed,” he wrote.
BTC, on the other hand, will remain constant in its release, and as a result, even a small exposure is a world away from nothing.
“We have less in common in the future than in the past… Bitcoin has sold hundreds of millions of political currency units in many countries already. But the REAL big thing is that all the prosperity that will come from all future innovations will flow to the base currency of the society- BTC,” Broyles continued.
“This is a CRUCIAL factor for people to ‘get to zero.’ To say that ‘Bitcoin is digital gold’ is like saying that a machine is an iron horse.
His view is similar to that recently published by Arthur Hayes, former CEO of the crypto derivatives exchange, BitMEX.
As reported by Cointelegraph, Hayes believes that the AI will naturally choose BTC as its financial life, again thanks to its unique qualities compared to other assets, including gold.
As a result, AI alone can push the price of BTC past $750,000 per token.
BTC supply dominance hits “inflection point”
The race to secure the remaining BTC supply, meanwhile, may have begun.
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Broyles argues that Bitcoin’s liquidity actually peaked during the March 2020 cross-market crash, and has been unable to retrace its steps since.
When the largest asset manager in the world, BlackRock, announced a Bitcoin spot-based exchange-traded fund (ETF) filing, on the other hand, US BTC activity rocketed.
As noted by on-chain analytics firm Glassnode, the US appears to be reassessing its own exposure.
“Following the Blackrock Bitcoin ETF request announcement on June 15, the share of Bitcoin supply held/sold by US entities experienced a notable increase, marking a potential turning point in dominance of supply if the trend is maintained,” it commented on July 8.
The accompanying chart shows the variations in BTC supply ownership change in the region.
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This article does not constitute investment advice or recommendations. Every investment and trading move involves risk, and readers should do their own research when making a decision.