Bitwise CEO Says Bitcoin Scarcity Will Feel More Dramatic
Bitwise CEO Hunter Horsley believes that Bitcoin scarcity is going to start to feel "dramatic" when the cryptocurrency becomes more mainstream.
"There are estimated 58 million millionaires globally. There’s only enough Bitcoin for ~ 1 in 3 of them to have one," he said.
Is Bitcoin's supply cap safe?
As reported by U.Today, investment giant BlackRock recently caused controversy with a disclaimer in its educational video stating that Bitcoin's maximum supply could be expanded beyond the aforementioned 21 million cap.
Such suggestions are akin to heresy within the Bitcoin community since the cryptocurrency mainly derives its value from its scarcity. The fact that the supply of Bitcoin is both transparent and predictable makes it an attractive alternative to other assets.
Alex DovbnyaHowever, BlackRock's Adam Back was quick to clarify that the disclaimer was just meaningless legal coverage.
Each node operating on the network will be able to confirm that Bitcoin's total supply remains unchanged.
Owning full Bitcoin is rare
According to data provided by BitInfoCharts, only a minuscule portion of all Bitcoin addresses (1.82%) hold an entire coin. In addition, only 8.2% of all addresses in existence have more than 0.1 BTC.
Only 0.25% of addresses hold more than 10 BTC, which would be roughly $1 million at current prices.
According to CoinGecko data, the price of Bitcoin is approaching the $100,000 price mark once again.
Bitcoin bulls argue that the price of the cryptocurrency will keep rising due to the token's finite supply.
Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
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