While financial experts and observers have been critical about the sudden surge of bitcoin, Naval Ravikant, the co-founder of AngelList, holds a more restrained view on the matter.
“Money is a bubble that never pops,” said Ravikant at a summit in San Francisco.
“It’s a consensus hallucination,” he added.
Commenting on the rising popularity of bitcoin, Ravikant mentioned that people are out to build the wealth they currently have.
While most savings accounts not returning anything at all, the public is keen on finding an alternative where they could put their money in and watch it grow.
Bitcoin and other protocols seem to be capable of that, as even the less-developed cryptocurrencies are showing substantial returns.
“I think people are looking to solve their money problems,” Ravikant claimed.
At the same time, Ravikant cautioned people of the hype surrounding the cryptocurrency market.
Ravikant specifically believes the market puts way too much emphasis on decentralization.
“One indicator we are in a very frothy environment is we have a lot of tokens trading at very high values that are junk,” he stated, without specifically naming any.
“Right now, I think the market isn’t distinguishing quality,” he added.
Ravikant concluded that the cryptocurrency market is here to stay.
He even offered the audience some insight into what cryptocurrencies he’s interested in.
These include bitcoin, for storing value; zcash, for transacting easily; basecoin, to act as a stable unit of account; and tezzies, to access the Tezos smart contract platform.
“I think we’ll see a lot more of the money use cases realized,” he claimed.
“If you can redefine what money is, that’s a trillion-dollar outcome.”
- Waste Management Firm Launches Blockchain Platform in Sharjah 18 February 2019
- Police Apprehend Suspects in $14 Million Crypto Scam 18 February 2019
- Crypto Markets Seeing Wave of Green 18 February 2019
- New Payment App of Rakuten to Support Crypto? 18 February 2019
- Regulated ETH Futures Would Result in More Robust Market, Says ErisX 18 February 2019