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Head of Blockstream Adam Back believes that bitcoin forecasts of $ 100,000, $ 1 million, and even $ 10 million are not so far from reality.
Back commented on the thoughts of the famous cyberpunkHal Finney (now deceased) expressed during his correspondence with the creator of bitcoin Satoshi Nakamoto in 2009. Finney then proposed to Nakamoto a thought experiment - "imagine that Bitcoin has already become the dominant payment system in the world."
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“The total value of bitcoin in that case shouldbe equal to the total value of all world wealth. The current estimate of the total value of household assets around the world ranges from $ 100 trillion. up to $ 300 trillion, and with 20 million coins it can be assumed that each of them can cost about $ 10 million. ”- wrote then Finney.
Adam Beck says that “it is closer than it seems” due to the inexorable increase in US dollar inflation:
It’s closer than it sounds as along the path ofhyperbitcoinization, the USD inflation rises, eg aided by Modern Monetary Theory rationale for high inflation, so $ 1 becomes worth say 10c over a decade or two of monetary craziness, then $ 10mil / BTC is $ 1mil / BTC in today’s money.
- Adam Back (@ adam3us) January 11, 2020
“It’s closer than it seems, because on the wayhyperbitcoinization, US dollar inflation is rising. Modern monetary madness shows that for a decade (or two) $ 1 turns into 10 cents. Then a $ 10 million bitcoin [which Finney spoke of] is almost the same as $ 1 million bitcoin in current money. ”
Simply put, the dollar depreciates relative to the main cryptocurrency so that both $ 1 million bitcoin and $ 10 million bitcoin can soon become a reality.
Adam Beck also pointed out that a few years ago, the current price of bitcoin seemed unrealistic to many, although the main cryptocurrency more than once crossed the line of $ 10,000.