One Bitcoin [BTC] is worth one Bitcoin, all other currencies are going to fall away against it; says Tim Draper
Recently, Tim Draper, a Venture Capitalist and Bitcoin Maximalist gave his views on Bitcoin and what the future might hold, in an interview with Breaker. Draper says that he’s been a “crackpot” for entrepreneurs and that he believed and supported startups that no one actually thought would take off.
Draper has been acknowledged in the cryptocurrency space for his bold predictions about Bitcoin. One of them being his prediction of Bitcoin’s price, which according to him would hit $10,000 when it was trading for just $413. He was among the very few people who invested in Hotmail, Skype and Tesla.
During the interview, Tim Draper was bombarded with a lot of questions regarding his views on Bitcoin and his take on the future of Bitcoin. According to Draper, healthcare or pension has improved over the years and it is not tied to any landmass. He also said that the same holds good for cryptocurrencies. He said:
“We’ve finally got a currency [cryptocurrency] that finally pervades all countries that is global, decentralized, open, completely transparent, and keeps a perfect record. Why would we ever go back to political currency when we can use Bitcoin for all other things?”
He clarified his liking for Bitcoin saying that with Bitcoin there are only 21 million coins and it will stay at that limit. However, he feels that with Ethereum and other cryptocurrencies, one can decide to print more coins if they choose to. He also added that he still likes other cryptocurrencies for what they bring to the table.
Regarding the adoption of Bitcoin, he stated:
“I want to be able to set up a fund that’s all Bitcoin, and I want the underlying companies to pay their suppliers and employees in Bitcoin. I want that because that can all happen without any accounting, and we can build in smart contracts for my investors so that when one of the companies gets bought I can hit a button and it can immediately go into all their bitcoin wallets.”
He strengthened his current prediction of $25,000 by referencing an example from the past. Draper said that people called his $10,000 predictions far-fetched when the price of Bitcoin was at a mere $180 and rising. He added:
“I’m assuming within the next year or so, we’re going to make it so that everyone buy a cup of coffee with bitcoin using their smartphones. I only make one prediction at a time and mine is the $250,000 per bitcoin. But I look at it a different way: One bitcoin is worth one bitcoin and other currencies will fall away against it.”
He says “One Bitcoin will always be worth one Bitcoin” because the number Bitcoins will always remain capped at 21 million, unlike other cryptocurrencies, whose circulating supply can be increased.
Draper said that he has two assumptions, the first being that within the next year smartphones can be used to pay for coffees or at restaurants with Bitcoin, which is about “five percent of all currency in the world”. The second being that countries like Japan are accepting Bitcoin as national currencies.
Furthermore, Draper said that he is a wagerer when it comes to Bitcoin and that he will invest more when the ‘software’ is built because people to recognize the drawbacks of fiat currencies and accept Bitcoin.
Draper concluded his predictions on Bitcoin, which many consider as crackpot theory saying:
“It was a crackpot theory when I backed Hotmail, It was a crackpot theory for me to be the first Silicon Valley investor to invest in China. I have been a crackpot for the entrepreneur, and entrepreneurism has spread throughout the world.”