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VanEck, a prominent asset management firm and issuer of Bitcoin and Ethereum ETFs, has predicted that the price of Bitcoin (BTC) could reach $2.9 million by 2050.
VanEck’s July 25 report predicted that Bitcoin will play a major role in the global financial system in the coming decades, especially as political tensions and rising debt costs pose a threat to the current monetary system.
In an interview with CNBC, Matthew Sigel, head of digital asset research at VanEck and author of the report, outlined his views on the future of Bitcoin. He emphasized that BTC has the potential to become a major means of payment in international trade, accounting for about 10% of total global trade and 5% of GDP.
The report also predicts that Bitcoin will increasingly solidify its role as a global reserve asset, partially replacing the four largest current reserve currencies – the US dollar, euro, British pound and Japanese yen – with a share of 2.5% of total global currency reserves.
If VanEck’s prediction is correct, Bitcoin’s price could increase 44 times from its current level, with an annual growth rate of 16%, reaching $2.9 million by 2050. This would result in BTC’s market capitalization increasing to $61 trillion.
– Series of creditors of Mt. Gox received Bitcoin from Kraken
