What will happen to Bitcoin in the next 8 years? Michael Saylor intervenes

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Michael Saylor, co-founder and executive chairman of US business intelligence firm MicroStrategy, shared what he thinks will happen to bitcoin (BTC) over the next eight years while explaining how it will come into play.

In a recent interview with Cory Klippsten, the founder and CEO of Swan Bitcoin, Saylor noted that he sees bitcoin becoming a global store of value by 2031.

Institutional adoption

According to him, institutional adoption is one of the primary drivers of digital asset status as a global store of value in the coming years. The bitcoin proponent believes institutional adoption is possible thanks to “statements” from the U.S. Commodity Futures Trading Commission (CFTC), Securities and Exchange Commission (SEC), and rulings by traditional financial institutions.

Saylor mentioned some traditional financial institutions, such as BlackRock and Fidelity, which are beginning to embrace bitcoin lately due to its potential despite their previous distance from the asset.

The Lightning Network Explosion

The MicroStrategy co-founder also cited the explosive growth of the Lightning Network as another factor that will make the digital asset a global store of value.

The Lightning Network is a layer 2 solution based on the bitcoin protocol to make transactions faster and cheaper. Interestingly, MicroStrategy plans to develop Lightning Network-powered apps that could reach millions of users.

According to Saylor, the development of “killer apps” like Lightning wallets that move digital dollars and BTC and exchanges in and out of local currency will create massive demand for the asset.

“I just describe it as in 1991, you had TCP IP, and we had the Internet, but not many people were using it. In 1994, you had the Netscape browser, and now it was the killer app for the Internet, and very quickly, 100 million people downloaded this browser and it caught fire,” he said.

Macro headwinds

The billionaire also noted that macroeconomic headwinds, such as US Federal Reserve interest rate hikes, are major factors that will help bitcoin achieve status as a global store of value.

To keep inflation in check, the Fed raised the federal funds rate seven times in 2022, with more expected to come this year. Saylor said inflation will rise once the Fed scales back its interest rate hikes, which will be a marketing driver for the major cryptocurrency.

According to the executive chairman of MicroStrategy, the combination of these factors “will play against the new reality: bitcoin is the only digital commodity, it is the only crypto asset, and there is no second-best crypto asset.”

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