Cryptographic bull Meltem Demirors said on Tuesday that the rise of Bitcoin has generated wealth for other types of investors.
Comments on CNBC’s “Squawk Box” came a day before an important milestone was set for the crypto world: Coinbase’s Nasdaq debut.
“That’s good for me: Bitcoin has created a lot of wealth for people who weren’t part of the traditional financial system, they weren’t money managers,” said Demirors, the strategic director of CoinShares, an investment in digital assets. firm.
He said he got into bitcoin when it was around $ 150 per coin. On Tuesday, it hit another historic record, trading above $ 63,000 as investors expected Coinbase’s direct listing.
The public debut of the digital currency exchange on Wednesday “will coin hundreds, if not thousands, of billionaires and billionaires who love cryptography and are likely to take some of their revenue in quotation and continue to invest in the cryptographic ecosystem,” Demirors said.
“There’s really a good recursive effect where this industry isn’t just about assets. Now it’s really about companies, in which we’ve been investing for almost a decade,” he added.
In fact, Soona Amhaz, general partner at cryptocurrency company Volt Capital, said Coinbase’s direct listing is far from the only exciting development for digital assets.
“The history of cryptography doesn’t end with the release of Coinbase,” he told CNBC’s “Closing Bell”. “That’s a lot of ground for the crypto companies that are being built now.”
Some believe Coinbase can get a valuation of up to $ 100 billion. While this market cap would be monumental for the crypto industry, Amhaz said the most important thing is to continue to expand the number of people who own digital assets around the world.
“We will see more cryptographic companies being built to help accelerate the next 100 million users into cryptography and be exposed to this new financial paradigm,” he said.
Created in 2009, Bitcoin is the world’s largest cryptocurrency by market value. Its price has skyrocketed especially in recent months. As recently as October, Bitcoin was trading below $ 11,000 per currency.
A key factor driving the increase has been the new institutional adoption. Some companies, such as Tesla, have bought bitcoins with cash from their balance sheets.
Last month, Morgan Stanley was the first major U.S. bank to announce that it would provide access to bitcoin funds to its wealth management clients. Another Wall Street titan, Goldman Sachs, is also expected to take similar steps for clients of his private wealth management group.