Who has the most to lose, when Bitcoin becomes $1 Mil and more desired than the USD? Warren Buffet. Follow the money.
I beleive Bitcoin is a great store of value. Is this a bubble? Yes, and it'll pop; but thus far, it's the least widely held bubble I've ever seen; so we have much more to go. Can Cryptosphere reach 500 Trillion dollars market cap? YES!
Hi @haejin,
I appreciate you getting back to me.
You actually make a point that I wanted to include in the post but decided not to.
You mention Bitcoin and the USD in the same sentence. If we removed Bitcoin from its pegged value against Fiat Currencies (i.e. $, £, €, ¥ etc.), then what would the crypto economy look like?
The question I guess is and the point Warren Buffett is possibly making- is the participation in the Bitcoin and crypto economy in general purely to do with the fact that it appreciates in say $ terms through the hype generated by influencers, media (etc.) and the subsequent speculation surrounding it and nothing to do with any real fundamentals that we can measure?
A simple question: how many people do you think will participate in this market if they could not make a profit in say $ terms, that is cash out in Fiat currencies at some point?
So going back to your first sentence: "Who has the most to lose, when Bitcoin becomes $1 Million and more desired than the USD?":
I am not sure how to answer that because the value of Bitcoin will be dependent on the USD. So it is just a commodity (like any other commodity set at a certain price in time), and at that time it will be worth $1million per Unit.
It is like saying Oil , Gold, Palladium or Californium 252 (worth $30,000,000 PER GRAM) is more desired than the USD just because of its price pegged against the USD.
Hope this makes sense?
Thank you for bringing an interesting point up!
Cheers,
@shenobie