Michael Saylor, the Founder & CEO of MIT Aerospace and a Bitcoin Maximalist said that holding BTC is far more advantageous than being stuck with fiat. Saylor made the comment in a Twitter post on Wednesday, April 20. According to him the best of fiat currencies will still lose most of its value in a 100 years due to the impact of inflation.
The world’s best fiat currency will lose 99.9% of its value in a single century. #Bitcoin
— Michael Saylor⚡️ (@saylor) April 19, 2022
Bitcoin is currently trading at $42,032 having made a marginal gain of 2.78% in 24 hours. The coin exhibited hallmark volatility after dropping to $38,720 on April 18.
A Massive Gain in A Decade
However, this is still a remarkable gain over the past decade when the coin traded at less than a dollar. An April 7 tweet by the whale tracking website WhaleAlert supports the assertion by Saylor. In the said tweet, a Bitcoin holder moved 100 bitcoins after 12 years. The value of each bitcoin in 2010 when they were acquired was $0.08. Compared to the current market price, the coin has made gains of 50,000,000%.
Another Twitter user, @btcrules emphasized that national currencies are fast losing value compared to Bitcoin. He stated that most fiat currencies will actually lose 99.9% of their value to BTC in just 10 years and not 100 years as postulated by Saylor.
Chandra Tangudu, a market analyst agreed that the value of fiat is depreciating. He suggested investing in tangible assets such as precious metals, real estate and the like. But this was countered by Stefan Kalajdžić who wrote:
“Gold isn’t a solution, it’s not practical to distribute gold in small quantities to 5 billion people, but bitcoin is a solution. Gold is not a perfect monetary asset because you can inflate, confiscate or counterfeit it. Bitcoin is not just an asset but a network and a protocol.”
Experts like Fundstrat’s Tom Lee have established that the value of BTC will keep appreciating. This is mainly due to the fact that there are just 21 million coins that could come into circulation. The impact of Bitcoin on national currencies in the future is not yet known. No one is aware how governments would response as inflation continues to take its toll on currencies in the light of an appreciating digital currency (BTC).