Here’s why Bitcoin [BTC] can never be irrelevant as per this macro investor
- Dan Tapiero stated that the traditional banking system has definitely witnessed in a fall
- Upon comparing BTC to gold, he stated that the former is much bigger than gold
Dan Tapiero, CEO of a private equity fund was the guest on the latest episode of The Pompliano Podcast. During the same, the equity fund CEO shared his thoughts about the ongoing blowups in the banking system.
He further shared his thoughts on the current state of the cryptocurrency market and why Bitcoin [BTC] could never be irrelevant.
Deep diving into it all
Commenting on the prevalent FUD in the banking system, the exec stated that the banking system has definitely witnessed a crash. Furthermore, he also stated that the blowup in the banking system was a serious event.
Addressing the issue of high interest rates, Tapiero stated that every interest rate cycle has peaked due to ongoing debacles in the banking system. He also cited “failed oversight” on the part of the financial regulators as one of the major reasons for the uncertainty in the traditional banking environment.
Addressing the age old comparison of gold vs BTC, Tapiero stated that BTC is much bigger than gold. He also stated,
“Gold is a store of value, anti-dollar play and there’s a physical component which I think is very important. Bitcoin, and you know the Bitcoin Code in the Bitcoin network is a completely new innovation for the world. It’s the potential to change the way we move value or the way we store value.”
Furthermore, he agreed with Tudor Jones’ comment of BTC being the fastest horse. He attributed the strength of the BTC network to its Proof-of-Work (PoW) model. Additionally, he considered BTC’s security component as ‘bulletproof’.
Does ETH make its place?
Talking about the king of the altcoins, Dan stated that Ethereum [ETH] managed to achieve network effect. This has led to a number of blockchain developers flocking to the chain to come up with different use cases. He further stated that Bitcoin and Ethereum could be considered as the strongest chains in the cryptocurrency market.
Is Bitcoin in it for the long run?
Bitcoin’s ongoing bull run has been managed to give investors some hope about the condition of the ongoing market. Talking about the same, the BTC investor stated that the move to BTC was extremely natural. Furthermore, people generating wealth would look for various sources as investments.
He also stated that anytime there stands to be a problem with the banking system, people would automatically prefer an alternative way of investing. In this case, that being BTC.
Upon being asked about how big BTC would get, Tapiero stated that relying on gold and BTC would increase in the future. The increased dependence on gold would come only because of its physical component.
However, talking about the value of BTC in the coming years, he stated,
“It’s not about what Bitcoin is worth versus gold, it’s what this entire world that’s predicted on the Bitcoin code is going to be worth.”
Talking about the future of the cryptocurrency market as a whole, he stated that,
“We don’t necessarily know which area is going to run with a ball and be the largest grower. I don’t even think that’s so important. I think it’s just important to have exposure to this space generally, and here we are at the end of the bear phase. 1.7 trillion dollars in value is captured in this world and it’s not going to zero and it’s not going away.”