Mark Yusko, the CEO and Co-founder of Morgan Creek, spoke about Bitcoin’s [BTC] future valuation, in an interview with Bitcoin Magazine NL. The co-founder also spoke about one of the most frequently asked questions in the cryptocurrency space: when will institutional money come into the cryptocurrency market.
During the interview, Yusko was asked whether Bitcoin could be $300,000 to $400,000 per unit. To this, he stated that Bitcoin could “absolutely” be valued at that range, adding that it could be a decade or more from now for it to reach that mark. He further stated that the time frame for when it would be so valued was “not really as important” to him. He added that the factor about Bitcoin which did matter to him was “owning a piece of the network”. He said,
“[…] because the way networks work is, they grow in this exponential fashion and once the price starts to rise and people start being drawn into it just because of price movement then it moves to speculation, when it becomes more focused on investment and people are putting capital in because they want to own a piece of the network […]”
This, in turn, could result in ‘sovereign wealth fund’ worth billions of dollars pouring into the market for the network, thereby changing the supply-demand imbalance, he added. The Co-Founder further explained that the term ‘sovereign wealth fund’ referred to funds that were not created with any beneficiary, but from the central government’s money, such as the Norwich pension fund in Norway. He said,
“That’ll change the supply-demand imbalance from people speculating with a hundred or thousand dollars isn’t going to change the long-term value of the network but when big users start to say, ‘hey I want a portion of my fiat exposure to be hedged against a calamity in the financial system’. That’s when Bitcoin, for example, could get very exciting”