While the ideology of maximizing Bitcoin is keeping the community of cryptocurrency engaged in the competition, many see the aversion to altcoins.
According to NewsBTC, a Bitcoin proponent takes the stand for Bitcoin and only Bitcoin, claiming that the “Bitcoin is interesting but most other cryptocurrencies are worthless” as said by the website.
An Outlay of this billionaire’s stake in cryptocurrency market
On Friday, the billionaire investor “Bill Miller”, an elderly investing legend and also fund manager with a colossal net worth of $2 billion, discussed his views on the cryptocurrency industry. Before speaking upon taking a stand for the Bitcoin, Miller first outlined his stake in the cryptocurrency market which reveals to be the larger amounts of Bitcoin in a partnership.
Miller is a well-known cryptocurrency proponent and has been there for a long time, investing over $1 billion of his hedge fund’s liquid assets over the past few years in Bitcoin. Considering his net worth is in the range of hundreds of millions and an average acquisition cost of $300, it can likely be said that crypto assets make up the majority of his own fortune.
When engendered about why he would make such an investment? The answer of Miller triggered the latest crypto news.
What Miller has to say about cryptocurrency?
He claims that such an investment is the interesting experiment where the outcome isn’t predictable. And also stated that it is less risky now than when it was at $100. And for the reason that each day it doesn’t flare up, or get zero, or get regulated out of existence, it is that more money is going to flow into the ecosystem.
And continuing with the evolution of the cryptocurrency to the and investment, he later put up an intriguing point about the scarcity of Bitcoin and how there are only 17 million cryptocurrencies in the circulation for 25 million millionaires across the world.
Taking into account all these figures, an American investor added that if every millionaire possesses one Bitcoin, the price of the asset would go up exponentially. Seeming advantageous, it is likely considering that the scarcity of Bitcoin will drive the prices higher in the future.
When prompted about if the scarcity concept applies to the altcoins too, Miller stated: “Majority of the altcoins over 1600 are worthless and that only Bitcoin is one of the most stable assets in this nascent industry”.
He also stated that the largest cryptocurrency by the market capitalization has the highest chance of succeeding. While the Ethereum closely following behind the so-called ‘digital gold”, as per his perspective.
There are two types of industry observers, one who stated that “Bitcoin doesn’t have intrinsic value” and the other who advocates that the “intrinsic value “ argument is wildly misconstrued and that the Bitcoin should not be valued in a way a publicly traded firm is valued.
And Miller’s statements prove him to be sailing on the latter boat, as he views multitude ways to fairly value the Bitcoin. The primary view of him regarding the crypto asset is to view it as a “non-correlated asset that is most homogeneous to gold” and the latter would be, viewing Bitcoin eventually as a direct alternative to gold, probably a “digital gold”.
And, if all of this forecast comes true, we will see the value for this asset skyrocketing with Miller noting that Bitcoin could reach the valuation of around one-third of the market capitalization of gold, which currently is at $8 trillion.
Miller concluded the interview making an interesting point and suggesting other crypto investors to not put too many eggs in one basket and treat their investment into crypto assets as a “positive expectation lottery ticket” that could possibly multiply 10, 20 and even 50% of the assets in just few couples of years.