During a recent Bloomberg interview, Galaxy Digital CEO Mike Novogratz predicted that the price of Bitcoin, the leading cryptocurrency, might surge to $500,000 if it gets adopted as a national reserve asset in the US.
As reported by U.Today, Sen. Cynthia Lummis introduced a bill that would require the US Treasury to acquire 5% of Bitcoin's total supply.
The long-shot bill, which was proposed by Lummis back in September, is likely to face a lot of legislative hurdles.
Novogratz himself believes that there is a low probability of a Bitcoin reserve being established in the US. He himself does not think that the U.S. dollar should be backed up by other assets:
"I don't necessarily think the dollar needs anything to back it up. We have the strongest military in the world. We have the dominant economy in the world and the reserve currency we've earned. And to need to back up the reserve currency is counterintuitive," Novogratz said.
Alex DovbnyaIf the proposal does get implemented, other nations will also have to buy Bitcoin, according to the crypto tycoon.
The cryptocurrency tycoon believes that Bitcoin could potentially surpass the market cap of gold in 10 years.
"I'm turning 60 next week, and so I still own about gold. I'm an old guy. But let me tell you, no 40-year-olds own gold. No, 30-year-olds...And so as we see this generational shift, Bitcoin should match gold within five or ten years." Novogratz said.
Earlier this year, Novogratz predicted that the price of the flagship cryptocurrency could surge above $100,000 by the end of the year.
Bitcoin is currently changing hands at $92,741 after reaching a new all-time high of $93,477 earlier today, according to CoinGecko data.
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