One of the most important figures in the cryptocurrency space, Tim Draper, says that he is buying more Bitcoins amid a bear market. Virtual currencies have been experiencing a drop in price since the beginning of the year that has been stronger in the last days.
Tim Draper Buys the Dips
The famous investor said that his plans for these months is to invest more in Bitcoin. He said that the cryptocurrency will be touching $250,000 dollars by the year 2022, which is one of the most bullish predictions just after John McAfee and Xapo’s treasurer, Carlos Maslatón.
About that, Tim Draper, explained:
“Cryptocurrencies are the next big technological tectonic shift and governments have to weigh their need to protect investors with their need to be included in this potential economic powerhouse that is crypto.”
At the same time, he believes that Bitcoin will have a market capitalization of $10 trillion dollars in the next ten years. The total cryptocurrency market capitalization will be $100 trillion dollars, meaning that Bitcoin will have just 10% of the market.
He has also compared virtual currencies with fiat money, he complained that currencies like the dollar lose value over time and that he prefers to hold virtual currencies which are deflationary currencies.
“I’m not really interested in holding fiat,” he said. “It loses value over time.”
He has also shown support to blockchain technology, which is being adopted by many governments and enterprises all over the world. The technology is more secure than the current banking systems that are used to send and receive payments. About it, Mr. Draper said that as the network grows, the chain becomes stronger and harder to attack, meaning that the biggest it is the more secure it becomes.
JP Morgan and Bank of America, for example, are two financial institutions that decided to embrace distributed ledger technology to improve their services. The same happened with Santander Group, that is working with the technology provided by Ripple. Other banks like Banco Masventas in Argentina is using Bitcoin to send and receive international payments.