In an interview on CNBC, the CEO of Galaxy Digital, and billionaire investor Mike Novogratz, said that he expected Bitcoin to now surpass the gold market cap capitalisation. He also said that he was shocked at the speed of crypto adoption.
Novogratz said in the interview that given the influx of big institutional players into the crypto space, Bitcoin adoption was gaining ground so fast that even he was shocked at the pace of adoption.
- “Adoption’s happening faster than I predicted. It’s shocking to me how fast people are moving into the system,”
He also remarked that he expected Bitcoin to “meet, and ultimately exceed gold’s market capitalisation”.
- “I do think bitcoin is on an inevitable path to having the same market cap and then a higher market cap as gold,”
The actual market cap of gold sits at around $10.9 trillion. Bitcoin has recently passed $1 trillion. According to Bitcoinist.com, for the Bitcoin market cap to match that of gold, the price of Bitcoin would need to be $500,000.
With Bitcoin up around 800% over the past year there is certainly a lot of impetus that could push the number one cryptocurrency to equal that of gold. The fact that many are now terming Bitcoin as “digital gold” has led Novogratz to state his belief that it will eventually surpass the traditional global safe-haven.
Goldman Sachs, the latest big bank to join the party, has announced recently that it is close to offering Bitcoin to its high-worth clients. This comes close on the heels of a similar announcement by Morgan Stanley last month.
An announcement from PayPal earlier in the week really added fuel to the fire, as the huge payments company said that it would allow customer payments to be settled in cryptocurrency.
Novogratz said on these developments:
- “The more people involved in this space, the more big firms, if it’s Tesla, or MicroStrategy, or Goldman, or Morgan Stanley, the more wealthy individuals – the harder it is politically to say ‘hey we don’t like this anymore’,”
He also said that “the US has crossed the Rubicon” in terms of the amount of citizens holding bitcoin.