With the Chicago Mercantile Exchange set to launch its Bitcoin futures in three weeks, Bitcoin’s price has seen records highs, something that one Capital Management founder has taken note of.
Despite the rocky week, Bitcoin had last week with the cancellation of its upgrade, SegWit2x, it seems the cryptocurrency has made a comeback and then some. At press time, Bitcoin has reached a record-high of trading at $8332.84.
With the slump in the price reaching almost $6,500 last week, it left a lot of investors or those thinking of investing on the fence. However, the founder and chief investment officer of Morgan Creek Capital Management, which carries $3.7 billion in assets under its management, is still confident in the cryptocurrency and has predicted it will reach $400,000 in the long-run.
Mark Yusko has been a senior investor for almost 25 years and invested in Bitcoin back in 2011. He regrets taking the “picks and shovels” method of investing and wishes he would’ve invested more.
The Capital Management founder acknowledges why most financial higher-ups have such a negative reaction when it comes to bitcoin, as well as other cryptocurrencies and believes the physical financial institution will one day become obsolete.
Yukso states, “It is extremely natural to expect banks to be dismissive and skeptical because this is a disruptive technology. This will change the supply and demand equation for banking. It is that big. I’m not surprised at all that bankers, financiers and Saudi Princes are coming out against it. This is a truly disruptive technology.”
He also added further to his statement of banks becoming obsolete, saying, “If you think about it why do we need a giant building to have a bank? We don’t.”
In his eyes, money is digitized now.
Yukso explains, “One of my greatest fears or nightmares is that I may wake up one morning and the bank says I have no money. How would I prove that I do? I don’t have physical records anymore, I don’t have a statement that says you have X dollars. So I think Bitcoin and blockchain and Ethereum too – are exciting new technologies.”
The hedge fund manager compared the blockchain and bitcoin, to the internet thirty years ago. Noting that it has the complete capacity to “change everything” and that internet of money is real and just as crucial as the internet was in the 90s.
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