Taking Bitcoin into isolation, taking all of the other digital assets aside, Bitcoin disrupts gold. It’s a better gold when you look at the properties of money and what makes gold, gold. Scarcity? Bitcoin is actually fixed in supply so it’s better and scarce than gold, it’s more portable, it’s fungible, it’s equal or better than gold across the board.
If you look at a $300 billion dollar market capitalization today, it’s actually a buying opportunity when there’s a 30x – 40x because when you look at the gold market today, it’s a $7 trillion dollar market and a lot of people are starting to see that, they recognize the store of value properties so regardless of the price moves in the last few weeks, it’s still a very under appreciated asset.
If Bitcoins a better gold, imagine your financial system with only gold as an asset class. That’s how early in the beginning this is, there’s going to be a menu of many cryptocurrencies and they’re going to rethink the entire internet and how people view it, you can never buy a piece of the internet back in the 1990s, you could invest in a venture capitalist firm on Sand Hill Road that had to pick Amazon versus Pets.com.
You had to be very privileged and get lucky many times. Now you can just buy a piece of the protocol, so buying Bitcoin is like a call option on the entire Bitcoin ecosystem. A Bitcoin company would not work out before Bitcoin works out itself first, so the ultimate Bitcoin bet is Bitcoin or the ultimate Ethereum bet is Ether.
You’re basically buying a piece of the race track and you’re not picking Sea Biscuit, it doesn’t matter who wins, as long as the races are running, you’re a part of it and that’s the beauty here. Usually the retail investors come in at the end, they get dumped this stuff post IPO, 10 years after a company is founded.
Now retail investors are the ones who have been there first, actually Wall Street is completely asleep at the wheel and late to the game. Slocan Valley has actually completely missed it too, people in Silicon Valley and the companies have maybe personally got it. Some venture capitalists have personally invested in digital currencies but they structurally were only able to invest in sequence and so buying gold or Bitcoin is not something they do, but the partners were investing their own money.
Silicon Valley very much missed cryptocurrency because they want to miss it, it’s not good for this centralized application layer, the fame companies that sit on top of the internet, cryptocurrencies actually decentralize that, pull it all down below, the protocol layer and the value actually accrues to the people who buy into and use, and build the network. Not one company, there’s not a headquarters of Bitcoin or Ethereum, these are networks that are centralized and owned by in a very democratic way, the users of them.