Fintech
Could the price of Bitcoin really reach $43 million? Mark Moss thinks so: here’s why
On a recent episode of the “Rich Dad Radio Show,” Mark Moss, author of the “Uncommunist Manifesto,” addressed the enduring appeal of Bitcoin amid the influx of alternative cryptocurrencies such as Dogecoin, Solana, and Ethereum.
Moss, drawing on historical data, explained the significant price increases that followed previous halvings, shedding light on why Bitcoin remains one of the best investment choices.
Bitcoin’s Bold Future: A $43 Million Vision
Mark Moss paints a bold picture of Bitcoin’s future, imagining that its value will rise to an astonishing $43 million per coin within half a century. When asked about this bold prediction, Moss compared it to Uber’s disruptive rise in Silicon Valley. By taking a fractional share of various sectors, Moss argued that justifying a $100 million valuation becomes plausible.
Clash of the Titans?!
Applying similar reasoning to Bitcoin’s competition as a store of value, Moss juxtaposed its position with myriad traditional assets. From gold and luxury items to stocks, real estate, bonds, fiat currency and offshore accounts, Moss estimated the cumulative value of these traditional stores of wealth at a staggering $900 trillion.
However, he highlighted the challenge of changing one’s mindset to valuing wealth in terms of Bitcoin, especially with the incessant printing of fiat currency.
The Bitcoin halving effect
Moss shed light on Bitcoin’s unique supply dynamics, highlighting its halving mechanism that occurs every four years, effectively halving the rate of issuance of new supplies. Simplifying the economic basics, Moss explained that the interaction between supply and demand determines prices. With a decreasing supply and assuming stable demand, the inevitable consequence is an increase in price, a trend consistently observed throughout the history of Bitcoin.
Highlighting Wall Street’s recent entry into the Bitcoin market through ETFs, Moss highlighted the amplification of demand. This convergence between a decrease in supply and an increase in demand aligns perfectly with fundamental economic principles, fostering an environment conducive to price appreciation.
Is scarcity good?
He compared Bitcoin’s predictable supply output to fiat currencies, pointing out that while central banks can regulate fiat supply at will, Bitcoin operates on a predetermined schedule. The limited supply of 21 million Bitcoins, expected to be reached by 2140, guarantees scarcity. Moss pointed out that Bitcoin’s recent halving has made it even more scarce than gold, historically considered one of the most difficult assets.
Also check: Bitcoin rebound: what is its impact on the main cryptocurrencies
Is Bitcoin a better store of value than traditional assets like gold? Share your thoughts!