HyperBitcoinization will Start in 10-Years from Now, 3rd Richest Person in Mexico calls Bitcoin (BTC) “New Gold”
Dan Held, Kraken's head of growth, has said during an interview that there is a good chance for Bitcoin (BTC) to become the reserve currency of the world. However, he was also quick to emphasize that large-scale adoption of the largest cryptocurrency (in terms of market cap) will need at least 10 more years from now.
He went on to say that the “hyperbitcoinization” (which happens when the BTC is adopted by billions of users) will start with the retail users first followed by institutional investors and then the governments. He pointed out that the transition towards hyperbitcoinization is taking place because of BTC’s fundamental permissionless nature. Dan Held pointed out that “It’s true, free money. It’s money that no one can control other than you.”
While hoping for worldwide adoption of Bitcoin (BTC), Dan said that the adoption in the Western World and the developing countries will take place for two different reasons. While the BTC will become attractive in the Western world as a hedge against the mindless money-printing of the central banks (in turn giving rise to inflation), developing countries will embrace it mainly to avoid censorship.
Ricardo Salinas Pliego, the 3rd richest person in Mexico, has called Bitcoin (BTC) the “new gold”. While revealing that he holds 10% of his portfolio in Bitcoin, he recommended BTC as an investment rather than fiat currencies or gold. Ricardo tweeted in response to a tweet by MicroStrategy CEO, Michael Saylor, where the latter said:
“That’s totally right, Bitcoin is the new gold, but too much more portable, transport Bitcoin is so much easier than having your gold bars in pockets … and I know that I’m going to be attacked by gold lovers.”
Salinas Pliego has said:
“I’ve invested a lot of time studying it, and I think that it’s an asset that should be part of every investor’s portfolio. It’s a valuable asset, with international value, that’s traded with enormous liquidity at a global level. And that’s reason enough for it to be part of any portfolio. Period.”
While underscoring the fact that incessant money printing by the Central Banks and the resultant inflation devalues the purchasing power of all the holders of fiat currencies. The third richest person in Mexico said:
“Fiat is a fraud. I started my professional career in ‘81. The Peso was at 20 x 1 (USD.) Today, we are at 20.000 x 1. That’s all there’s to know. And that’s here in Mexico because if we look at Venezuela, Argentina, or Zimbabwe, the numbers lose all proportion. The fraud of fiat is something inherent to the fiat system, and we’re watching it happen in the USA. The monetary emission went to the moon, you understand. The Dollar as hard money is a joke.”
When a Twitter user asked whether Mexico will follow the precedent of El Salvador in making it a legal tender, Pliego replied by saying: “No idea”. Lots of noise is taking place in Central and South American countries after El Salvador’s Congress made Bitcoin a legal tender. Reports say that El Salvador will start using Bitcoin from September 2021 and Paraguay is making all the right noises about its increased use in the country.