Legendary billionaire venture capitalist, Tim Draper, has again confirmed that he’s standing by his $250,000 by 2022 bitcoin (BTC) price prediction.
Draper, who is the founder of early stage venture capital firm Draper Associates, and private for-profit entrepreneurship training institute, Draper University, stated during a panel discussion on November 6:
Believe it, it’s going to happen – they’re going to think you’re crazy but believe it, it’s happening, it’s going to be awesome!
When questioned about the approximate time frame after which bitcoin’s price will skyrocket to a quarter of a million dollars, the bullish Harvard and Stanford graduate said those who’ve invested in the flagship cryptocurrency will be rewarded with a 40 times return by 2022.
Why Should We Use Fiat Currencies?
Draper’s comments about bitcoin’s future price performance came during the Web Summit conference, in which he was on stage with Fortune’s senior writer Jen Wieczner, who asked the experienced entrepreneur whether he still owns the 30,000 bitcoins he bought at the US Marshals Service auction - after they had been seized from the Silk Road marketplace.
Draper responded by saying that he has not only been “hodling” those bitcoins, but he has also bought more of the pseudonymous cryptocurrency. He also explained why he thinks bitcoin will become widely adopted:
Yes. We are talking ... about five percent market share [of the world’s daily transaction volume] to get to $250,000. That seems like a drop in a bucket and all we need to really do is make it so that Bitcoin can be used to buy Starbucks coffee, and all of a sudden the world just opens up and then they say ‘I’ve got this choice.’ ... Do I want a currency that I can take from country to country ... or do I want one that sticks me in one country or one geographic area and I can’t use it anywhere else?
Draper also questioned why people would continue to use fiat currencies, which he referred to as “political currencies.” He asked: “why do we even trust currencies that are determined by some weird political party or another?”
According to Draper, central banks and world governments print fiat money “whenever they feel like it for whatever reason they want it.” However, he believes that what we’re beginning to see with digital currencies is the gradual adoption of a “totally apolitical,” and globally accessible form of currency
Smart Contracts, Aritificial Intelligence To Redefine Role Of States
Earlier in May, Draper said during the GovTech Pioneers conference that emerging new technologies such as blockchain-enabled smart contracts would transform how business is conducted - both at the domestic and international level.
He remarked: "If we combine Bitcoin, blockchain with smart contracts and artificial intelligence, we could create the perfect bureaucracy.”
As CryptoGlobe reported in September, Draper has also predicted that the market capitalization of the cryptocurrency market will hit $40 trillion within the next 15 years. According to the business tycoon: “Cryptocurrency will go after trillion dollar markets — these are finance, healthcare and insurance, banking and investment banking, and governments."