• Former Coinbase’s CTO, Balaji Srinivasan has made a bet with two people that Bitcoin will hit $1 million in 90 days.
• His prediction has been heavily criticized by analysts who point out that the asset would have to rise by 3600 percent within this time frame to match the said price.
• Critics argue that the collapse of the banking system would overshadow the potential value of Bitcoin and stores of value or alternative assets do better when we doubt the profitability of an economic system and not its existence.
Former Coinbase’s CTO Makes $1 Million BTC Bet
Former Coinbase’s CTO Balaji Srinivasan has entered into a $1 million bet with two people, predicting that Bitcoin would hit $1 million in 90 days. This prediction has received criticism from several analysts who are calling his prediction unrealistic.
According to Srinivasan, global economy is going through some interesting changes which he referred to as „hyperbitcoinization.“ He believes that the global economy will soon „redenominates on Bitcoin as digital gold,“ as the US Dollar is on the verge of entering a point of hyperinflation. In comparison, Siblis Research published that the value of US stocks was $40.5 trillion as of the end of 2022.
Critics Weigh In
Crypto investors appear to be moved by this prediction while other analysts have heavily criticized Srinivasan, calling his forecast outrageous. Bitcoin entrepreneur and educator Jimmy Song and venture capitalist Adam Cochran took a critical look at it and noted that for it to happen, Bitcoin would have to rise by 3600 percent in 90 days to match the $1 million trading price; whereas its rally in 2020-2022 was only 547 percent and 1107 percent in 2017 respectively. Bloomberg’s Matt Levine also responded with an interesting question about it being realistic or not.
A Risky Bet?
As part of his agreement, Srinivasan will give each party $1 million worth Circle’s USD stablecoin if his prediction fails. It remains unclear whether or not he will be able to pay up but it does demonstrate how confident he is about his predictions for Bitcoin’s future success despite all doubts expressed by analysts and investors alike over its long-term viability against traditional financial systems like banks etcetera
While some crypto investors appear optimistic about it, others remain skeptical considering how extreme conditions need to be met in order for such a massive appreciation in price within such a limited amount of time when compared with previous rallies seen before on BTC chart history. Whether or not this bold prediction comes true remains uncertain but we can stay tuned for any updates related to it over coming weeks and months ahead until then..