Former Binance CEO Changpeng Zhao pointed to increased government adoption of the asset in the next ten years. In an interview, he highlighted its use-case as the future of money to drive massive investment. This will increase the asset’s price as well as the wider crypto sentiment.
Zhao hinted at more strategic Bitcoin reserves for countries to flip negative macro realities. Talks around a Bitcoin reserve in the United States gained momentum in the run-up to the U.S. Elections. With a rising national debt, crypto enthusiasts tip the asset to offset debt and promote finance and cross-border payments.
A possible US backing could influence other jurisdictions to adopt the top crypto for payments and a reserve. After the U.S. election, the price of Bitcoin hit new milestones, shaking off previous corrections and setting the tone for positive projections.
Trading above $100K, bulls set sights on a higher rally on the back of increased institutional adoption. These inflows to the asset could spike growth coupled with government adoption in the coming decade.
Bitcoin’s Utility Over Gold
Zhao highlighted the advantages Bitcoin (BTC) has over gold amid recent adoption. Bitcoin continues its upward trajectory backed by heavy institutional buys, with bulls projected over-the-top surges for the crypto leader in five years. Gold and Bitcoin are popular as a store of value for varying groups of investors with a decade-long debate on utilities.
In a recent interview, Zhao noted that Bitcoin is more scarce, coupled with new use cases that could fuel its price. Bitcoin is termed digital gold because of its portability and access to a wider adoption net, which users say helps its case against precious metals.
According to him, the scarcity of the asset will drive more investment in the coming years. On the other hand, the world doesn’t know the total supply of gold despite its availability for centuries.
“I think it should be way more than that (a 16 trillion market cap), as you said it has many advantages over gold and gold is not a limited asset, people control the supply of gold by not mining and we don’t know how much they are. With Bitcoin, we know exactly how certain it is and there’s not a whole lot left.” CZ added.
