Galaxy Digital CEO Mike Novogratz believes that the digital asset is on the way to approach or even surpass the market value of gold as Bitcoin (BTC) is rapidly gaining consumer and corporate prevalence.
During an interview on CNBC’s Squawk Box program, Novogratz said that cryptocurrency is gaining widespread faster than he anticipated. “It’s surprising how fast people come to the system.”
Novogratz, who has been in the industry since 2013 when Bitcoin was traded at $ 100, said that the previous target he set for the BTC price, $ 60,000, was too modest. The first target was based on Bitcoin reaching 10 percent of the market value of gold.
“At the beginning of the year, my goal was $ 60,000 because it would reach 10 percent of gold,” said Novogratz. But then I said to myself and our investors: When we see 10 percent, we’re all going to say it’s going to progress to 20 percent. When we see 20 percent, 50 percent and then 100 percent, ”he said.
The emergence of Bitcoin as “digital gold” reinforced Novogratz’s view that the cryptocurrency will eventually reach the market value of gold:
“I think it is inevitable that Bitcoin will have the same or higher market value than gold.”
While the total market value of gold was estimated to be $ 10.7 trillion as of the time of translation, Bitcoin’s market value was measured at $ 1.1 trillion.