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we can look at estimates of people in the world who participated in the global banking system. In 2015 it was estimated 62% of the population had a bank account. Today’s world population is estimated at 7.5 billion so let’s say 4.65 billion people have a bank account (I know lots of people have more than one account, but let’s keep it simple).
To transfer money back and forth in formal banking networks, you need a bank account. But in the cryptocurrency world, you need a wallet. Below is a chart of Bitcoin wallet adoption:
From year-to-year the number of wallets grew from 8.7 million to 16.8 million, almost 100% growth.
Assuming growth continues, there will be 465 million wallets (10% of the world bank account total) in less than 5 years or by 2022.
We can draw some conclusions from these projections:
- Bitcoin mining is going to stay profitable, very profitable for the foreseeable.
- As the number of wallets grow, so should the market cap of Bitcoin
And this is the really shocking conclusion to make of this report. There is a lot of hype about how Bitcoin is a bubble waiting to burst, with a market cap of $65 billion.
But there is $26 trillion dollars sitting in transactions accounts. A 10% capture of that money is $2.6 trillion dollars which would value each Bitcoin at $160,000 (excluding new coin minted after today).
Is this forecast completely outlandish?
Most financial experts writing about Bitcoin would say I am completely out to lunch.
To transfer money back and forth in formal banking networks, you need a bank account. But in the cryptocurrency world, you need a wallet. Below is a chart of Bitcoin wallet adoption:
From year-to-year the number of wallets grew from 8.7 million to 16.8 million, almost 100% growth.
Assuming growth continues, there will be 465 million wallets (10% of the world bank account total) in less than 5 years or by 2022.
We can draw some conclusions from these projections:
- Bitcoin mining is going to stay profitable, very profitable for the foreseeable.
- As the number of wallets grow, so should the market cap of Bitcoin
And this is the really shocking conclusion to make of this report. There is a lot of hype about how Bitcoin is a bubble waiting to burst, with a market cap of $65 billion.
But there is $26 trillion dollars sitting in transactions accounts. A 10% capture of that money is $2.6 trillion dollars which would value each Bitcoin at $160,000 (excluding new coin minted after today).
Is this forecast completely outlandish?
Most financial experts writing about Bitcoin would say I am completely out to lunch.
