VanEck CEO Jan van Eck has reiterated his bullish outlook for Bitcoin, projecting that it would rival gold in the near future.
Van Eck told Bloomberg on August 1 that Bitcoin is digital gold, a sentiment that is slowly becoming a norm in the global market. He suggested that this emerging narrative would see Bitcoin compete with gold and could claim a considerable chunk of its market cap.
Bitcoin to Claim Half of Gold’s Market Cap: Van Eck
Bloomberg host Matt Miller highlighted the unwavering belief from VanEck executives in Bitcoin even during the crypto winter. He asked van Eck why his firm believed so much in Bitcoin, and the CEO noted that it was because it is the digital version of gold, the most valuable asset in the world.
Van Eck suggested that Bitcoin would rise to that status at some point in its existence. Specifically, he noted that BTC would claim half of gold’s valuation, pushing its price to $400,000 per token.
Meanwhile, gold’s current valuation paints a more bullish picture for Bitcoin. Gold trades at $3,414 today and has a market cap of $22.9 trillion. If BTC attains half of gold’s current value, it would assume a valuation of $11.45 trillion, culminating in a price of $545,238 at a total supply of 21 million.
Interestingly, van Eck is not the only one insisting that Bitcoin is maturing into a rival to gold. Mexican billionaire Ricardo Salinas Pliego projected a few months back that Bitcoin would match gold’s $22 trillion market cap, citing a future where the crypto leader becomes the reserve asset for nations.
Also, a recent survey also points to Bitcoin’s demonetization of gold in the US. The report shows that more people now hold Bitcoin over gold in America, marking a shift in investment preference in favor of the pioneering cryptocurrency.
VanEck CEO Lauds Stablecoin Passage
Meanwhile, during his Bloomberg interview, Van Eck further highlighted the passage of the stablecoin bill as another development for Bitcoin and the crypto industry that would drive mass adoption. He called the GENIUS Act the “third most important piece of bank regulation” in US history.
For the uninitiated, the GENIUS Act passed in Congress, with the US president also approving the bill in July. The legislation ushered in stablecoin regulatory clarity, and van Eck believes it also changes things for crypto firms.
The VanEck CEO stated that tech-focused firms can now compete with banks in the payment industry, marking the first time in America’s history. Furthermore, he noted that although it may take a while, the bill will revolutionize Wall Street, with significant implications for the crypto industry.
Notably, while the bill would stir interest and capital influx into the crypto space, many suggest Bitcoin would not be a core beneficiary of the bill. Industry leaders have tapped Ethereum and XRP to be at the forefront of this drive due to their glaring stablecoin affiliations.
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