What is the ultimate future for Bitcoin?

[ad_1]

Bitcoin (CRYPTO: BTC) has been an amazing investment. Its price has been multiplied by 20 since 2018. Now, a single part will cost you around $ 63,000. Bitcoin has become a new class of asset. El Salvador now recognizes Bitcoin as a currency.

What future for this leader of the cryptocurrency market? In this episode of “The 5,” Motley Fool contributors Travis Hoium, Jason Hall, and Taylor Carmichael discuss the future of Bitcoin. This segment was recorded on October 21.

10 Stocks We Love Better Than Bitcoin When our award-winning team of analysts have stock advice, it can pay off to listen. After all, the newsletter they’ve been running for over a decade, Motley Fool Stock Advisor, has tripled the market. *

They just revealed what they think are the top ten stocks investors can buy right now … and Bitcoin was not one of them! That’s right – they think these 10 stocks are even better buys.

See the 10 actions

* The portfolio advisor returns on October 20, 2021

Jason Hall: What is the ultimate future for Bitcoin?

Travis Hoium: I’ll start off by saying that this is an area where I think we are looking at cryptocurrency like the internet was in 1998, 1999, where there is huge potential and we are starting to see what that potential is for. might look like. As.

Jason Hall: When no one really knew what it was.

Travis Hoium: We might also have a crash here in the next one, who knows when. It is very possible. I want to be a little careful in what I say about this. It looks like Bitcoin has solidified itself as a store of value and not of much use in the cryptocurrency world as I see it right now, whether true or not, like gold. Gold has been a store of value for centuries at this point for no other reason than people think it is valuable. It could be the same with Bitcoin over the next 10 or 20 years. What interests me in the cryptocurrency space is what is the use of cryptocurrency? That’s why one of the things I’m looking at right now is what can we do with things like smart contracts with Ethereum (CRYPTO: ETH) or some of the other cryptocurrencies out there? I think Bitcoin has really solidified as a brand and gold, if you will, of the cryptocurrency space, but I think innovation is going to happen in some of these other cryptocurrencies. This is where I try to learn as much as possible. It’s a space that, hey listen up, no one is an expert at this point. Everyone learns as they go along, like we were on the internet in the 90s. Bitcoin, I’m not exactly that optimistic right now. It’s a contrarian point of view, but I’m looking at things like Ethereum and some of the other smart cryptocurrencies, if you will, because of how useful they are, and I think that’s really where, everything like the Internet, it will be a long-term utility.

Jason Hall: Taylor.

Taylor Carmichael: I don’t own any. I actually own a crypto. I won some crypto. I have never bought crypto, but earned some crypto while playing Splinterlands (CRYPTO: SPS) game. If you want free crypto, Google me if you want, and Splinterlands. I played this game with the $ 10 game, and now I have cards, last time I checked it was worth $ 12,000 and it’s just free. It’s funny. But coming to the topic of Bitcoin, I don’t understand cryptocurrency. I searched for it, I dug it, I can’t understand why there is one more valuable than the other. I was afraid to buy parts, so I didn’t buy parts. But I’m getting more and more optimistic about the industry as a whole. I think crypto is here to stay, I don’t think it’s going anywhere. I think Bitcoin is a bit like AOL. It is number one, it is the first, it is a precursor. As we all know, AOL has always been a great stock. That made the Motley Fool what it is, it was one of the first big stocks for the Motley Fool. But eventually it was bought by Time Warner and it was different from Amazon (NASDAQ: AMZN).

Jason Hall: When The Fool started, literally on AOL, it was on AOL.

Taylor Carmichael: Yeah. I think that’s how I found The Motley Fool, which had just arrived on AOL. I think Bitcoin is going to be a great investment for a long time to come, but that’s what you’re saying, Travis, there could be some issues in the long run. It could go very high, but it might not be the ultimate winner. Like Yahoo was not the ultimate winner. It was a good start for a long time, but Google just killed it. Sometimes technology evolves like this. He is the lead dog, he is the first to arrive. The reason Bitcoin in particular jumped, it went from $ 10,000 to $ 60,000, I think Square (NYSE: SQ) announced that they were buying Bitcoin, and I know Jack Dorsey is a Bitcoin bull. . He says he thinks Bitcoin will replace the dollar, euro, yen. It is more than bullish. While Warren Buffett calls it rat poison squared. He says that about all crypto, so it’s fascinating. I think when he says “squared rat poison” he’s a Square search. [LAUGHTER] I like Carré. I think Dorsey is a genius. I didn’t buy Bitcoin, but I buy the picks and shovels. I mentioned Silvergate Capital (NYSE: SI), my favorite title in this space, SI ticker. But for Bitcoin in particular, I’m looking to the side. I know a lot of crazy people have it, and I think I’m going to miss something, but I’m looking sideways. But I would definitely pay attention to the whole crypto space because it is a very important space. I think crypto is like the internet 20 years ago. It’s the same dynamic.

Jason Hall: Yeah. Travis, you got some good points on the utility case. You think of Ethereum and its blockchain network, it performs better out of the box, so to speak. But things are happening. You have the Lightning Network, you have Stacks. There are those things that are happening that the developers are working on that are starting to add more. Like the Lightning Network. El Salvador being able to use it as currency exists thanks to Lightning Network, the possibility to increase the number of transactions, to reduce transaction costs, to make it a little greener, and then you have Stacks, that adjacent network rights to developers build. You think about smart contracts and some of that stuff, it’s moving forward. I think there are a lot of innovations that are going to help keep Bitcoin relevant, right? I think it’s really important. I think you are thinking of that number of 21 million, it’s a limited number of tokens that will ever exist. For people looking for a store of value, I think that’s it. I think there will be enough other things that will keep it relevant and functional, that will allow developers to use it, and other use cases that will make it functional, then this golden comparison. Gold is like $ 9 trillion in asset, Bitcoin is roughly $ 1.3 trillion. In 20 years, I think Bitcoin will be bigger than gold, really. Two-thirds of the value of gold is from people trading gold and holding it as a hedge or an investment, not as a utility value, not as a business value, it is as an investment value. These are the people who hold it as an investment. I think it will be the same for Bitcoin, because there are a lot of things that are even better than gold. Most of the gold is held, people hold it digitally. They invest in a trust that has gold somewhere in a large storage facility, and you pay a percentage of the assets to do so. With Bitcoin, the cost structure is expected to improve over time. I think it’s going to be there for a long time, and I think it could easily be 6x from here, 7x from here. I really think it might take 10 or 20 years to do it, but I think it really could do it. I’m not making a big investment in it, I have a small stake, I’ll build it over time.

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of the board of directors of The Motley Fool. Jason Hall owns shares of Bitcoin and Square. Taylor Carmichael owns shares of Amazon, Silvergate Capital Corporation, Splinterlands and Square. Travis Hoium owns shares in Ethereum and Square. The Motley Fool owns stock and recommends Amazon, Bitcoin, Ethereum, and Square. The Motley Fool recommends the following options: January 2022 long calls at $ 1,920 on Amazon and January 2022 short calls at $ 1,940 on Amazon. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

[ad_2]