Bitcoin Investor: Adoption Of Cryptocurrency As P2P Cash Is Vital For The Next Bull Market
On his Twitter page, Air Paul, CIO and managing partner of cryptocurrency hedge fund BlockTower Capital have shared what he thinks would drive the next bull market: adoption as P2P cash, institutional portfolios, privacy, and marketing.
Ari Paul placed a $1 million bet that Bitcoin will hit $50,000 in 2018 on behalf of his cryptocurrency hedge fund BlockTower Capital. Now, he explains what he means by his twitter post.
He firstly dismissed mass user adoption as a short-term driver for the bull market, but instead views it as still years off: “Less than 10 million people “use” crypto today, and aside from use as “digital gold” or “payment rail”, other use cases won’t have meaningful traction for 18+ months at fastest.”
Ari Paul noted that adopting cryptocurrency as cash will lead the market upwards in the mid-term. He pointed that adoption of cryptocurrency as P2P cash has a potential to go ‘viral’ as it has technological viability and big-budget marketing.
Ari Paul also believes that index funds, trusted exchanges, banking relationships and third-party custody “will support gradual adoption of Bitcoin and maybe other “Coinbase coins” in institutional portfolios”. The “digital gold” momentum will not include “anything that’s ICO’ed in the last 2 years.”
The Bitcoin investor also pointed to the growing need for privacy as the globe embraces surveillance states. He argued that privacy is paramount to the growth of Bitcoin and the cryptocurrency world in general: “If Bitcoin is adopted *because* it supports anti-money laundering measures by investors, that opens the door for a specifically non-AML competitor”.
Ari Paul and his crypto hedge fund have about nine months until their option contract expires. It is definitely possible that Bitcoin price would rise above the $50,000 mark. If Bitcoin reaches $50,000 in 2018, the bet will pay out on a 30 to 1 odds.
