Raoul Pal, the CEO of Real Vision and a former Goldman Sachs hedge fund manager, believes the crypto market cap will expand 100-fold by the end of the decade.
The overall market capitalization of the global crypto industry is $2.2 trillion at the time of writing, and Pal told podcast Bankless Brasil that “there’s a fair probability” that figure will rise to approximately $250 trillion if crypto network adoption patterns continue on their current path.
Pal noted parallels between current benchmarks for other markets and asset classes, such as equities, bonds, and real estate, stating that they all have market caps of “$250-$350 trillion.”
Also, Pal notes
“If I look at the total derivatives market, it’s $1 quadrillion.”
“I think there’s a reasonable chance of this being a $250 trillion asset class,..”
“which is 100X from here, which would be the largest growth of any asset class…”
“in all of history in the shortest period of time.”
Then, Pal continues
“That will pretty much dovetail in with the idea that 3.5 billion people are using it”
“— that’s just extrapolating the growth numbers of the network.”
“So if [there are] 3.5 billion users in 2030, well the market cap’s going to be something like $250 trillion,”
Then, Pal adds
One thing is certain: it will not reach its destination in a straight path upward. The total crypto market capitalization has declined 6.8% in the last 24 hours, owing to a massive sell-off in most major assets. Within the same time frame, Bitcoin (BTC), Ethereum (ETH), and Binance Coin (BNB) are trading at 7.6%, 9%, and 9.1%, respectively.
Pal may have been surprised by the recent drop because, in an interview on Dec. 27, he projected that Bitcoin will have a strong start to 2022 because he believed that a period of institutional sell-offs and end-of-year profit-taking had passed.
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