During a recent appearance on CNBC’s “Squawk Box,” Galaxy CEO Mike Novogratz stated that the Bitcoin price will keep going up as long as government overspending remains a thing.
“I think you’re going to continue to see Bitcoin appreciate as long as we have governments that can’t spend less than they take in revenue. And we are not even close to that…And as long as that debt-to-GDP keeps climbing, you’re going to see Bitcoin prices keep climbing,” Novogratz stressed.
Novogratz has stressed that Bitcoin is a hedge against money printing and “bad fiscal policy.”
Tons of capital pouring in
Earlier today, crypto became available for 401(k)s alongside some other alternative assets. Novogratz has told CNBC that it is a “monster” pool of capital.
Ryan Rasmussen, head of research at Bitwise Invest, has described this as a “$10 trillion” opportunity for crypto.
Novogratz also appears to be surprised by the success of public companies. “So as we’re really broadening our reach through public equities into our asset class, you’re just seeing tons of money pour in,” he commented.
Stablecoins will be “big deal”
Novogratz claims that it is going to take a while for stablecoins to be integrated into the payments system.
As of now, this type of cryptocurrency is mainly used for providing liquidity on cryptocurrency markets.
“They’re the oil that allows trading in the crypto markets and for overseas payments,” Novogratz said.
He believes that Tether and Circle will be able to keep their dominance, but it remains to be seen who will emerge as the long-term winner now that major names of the likes of JPMorgan are joining the fray.