By Money & Finance
Gemini is a US cryptocurrency exchange and custodian founded by Tyler and Cameron Winklevoss, who, thanks to The Social Network, need no introduction. Last week, the startup announced it’s launching a credit card with crypto rewards. The Winklevii also hinted that they are considering a public offering for their exchange.
Winklevoss Twins Talk Their Bitcoin Price Target & Potential Stablecoin Regulation on CNBC - Dec 10th 2020By admin
The Winklevoss twins’ thesis is simple. For them, Bitcoin is gold 2.0 that will eventually disrupt gold:
“Our thesis is that Bitcoin is gold 2.0 and it will disrupt gold.”
Based on this observation, the Winklevoss twins believe that Bitcoin will reach the gold market cap in the next decade. The gold market cap is currently $9T.
The advantage of Bitcoin is that its monetary policy is programmatic. Everything is predictable. We can therefore estimate fairly accurately the number of Bitcoins that will be in circulation in 2030. This number will then be 20 million BTC.
If Bitcoin has a market cap of $9T in 2030, the price of Bitcoin will be $450K.
Over the next decade, the great monetary inflation we are currently experiencing will continue to intensify. Under these conditions, the U.S. dollar will continue to weaken, which will boost the price of gold, but also the Bitcoin price.
Under these conditions, the Bitcoin price could be closer to $500K than $450K with a market cap similar to that of gold in 2020.
The reasoning of the Winklevoss twins is the same reasoning that many Bitcoiners do as well. It is based on three major elements:
The law of supply and demand.
The gold market cap.
The endless inflation of the U.S. dollar.
With its current price of $18K, Bitcoin has enough to offer a 25x gain to all those who will choose to buy it before becoming HODLers.
By Money & Finance
Cameron and Tyler Winklevoss, Gemini Trust Company co-founders, discuss their bitcoin exchange and the future of cryptocurrencies. They speak with Bloomberg's Erik Schatzker at the SALT Conference in Las Vegas on "Bloomberg West."