Mike Novogratz, CEO of Galaxy Digital, believes bitcoin can be a viable alternative to traditional stewardship and provide a way for people living in poor countries to access the currency. Novogratz expects bitcoin to reach $500K in price. “We see an adoption cycle that accelerates … going viral everywhere,” he said.
Bitcoin Is a ‘Great Alternative’ in Some Economies
In a few interviews, Mike Novogratz, CEO of Galaxy Digital spoke about his outlook on bitcoin and the U.S. Dollar in this week’s interview.
“The biggest thing that’s happened in the last 10 years in lots of ways, maybe longer, is when Europe and the U.S. said: ‘Hey Russia, those reserves that you thought were yours, they’re not really your reserves,’” he told Bloomberg Tuesday.
The Galaxy Digital executive elaborated on his meaning and said:
It means the dollar or treasuries as a risk-free asset isn’t so risk free. It’s not risk free if you’re Russian and maybe if you’re Chinese, it might not be risk free either.
“So I think we are entering a world that’s unknown where people are going to struggle to figure out what is the reserve currency,” he opined.
“The U.S. isn’t going away. The dollar isn’t going away. But it’s not going to be the sole place. So I think you are going to see this hodgepodge of assets,” Novogratz described.
“Gold and, certainly, digital assets are going to be part of that bucket. The whole world is not going to flip to bitcoin overnight but you are going to see more and more people say: ‘I wanna have some of my money outside of the sovereign,’” he explained.
Noting that “The Russian ruble has depreciated over 90% in the last 10 years” and “The Turkish lira did the same,” Novogratz said:
Bitcoin can be a lifeline for people living in poor countries that have poor economic stewardship.
He similarly told CNBC Thursday: “When there’s bad stewardship of economies … bitcoin provides a great alternative.”
While admitting, “our stewardship has not been great,” the executive stressed: “If you were in Russia, you would feel pretty stupid having all of your money in rubles. Or if you were in Turkey, you’d feel pretty stupid having all your money in the Turkish lira.”
Bitcoin Might Hit $500,000
Galaxy Digital CEO was asked his prediction on bitcoin’s price. He responded:
Five years out, if bitcoin is not at $500,000 then I’m wrong on the adoption cycle.
“We see an adoption cycle that accelerates. Last year bitcoin grew at a faster rate than internet in its best years of growth. I see this going viral everywhere,” he shared.
Novogratz commented also on President Joe Biden’s executive order regarding the regulation and use of cryptocurrency. He noted: “The politics have shifted even on the Democratic side. It’s no longer anti-crypto, it’s like: ‘Hold on, there’re a lot of crypto voters.’”
What do you think about Mike Novogratz’s comments? Please leave your comments below.
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