According to Yat Siu, the CEO of Animoca Brands, a firm valued at $6 billion, Bitcoin will no longer be solely seen as a store of value and speculative asset in the future. Instead, it will become a status symbol, propelling its value to reach nine figures. Siu draws a comparison between the future of Bitcoin and the current trend of NFTs, where wealthy investors are willing to spend millions to acquire NFTs purely for the purpose of attaining a certain status within the crypto community.
Bitcoin has experienced its most successful year to date, reaching a new record high. This has led to numerous bullish predictions for the leading cryptocurrency, including Siu’s forecast that it will eventually reach $1 million as it evolves beyond its current role as a store of value.
Currently, Bitcoin is trading at $64,225, experiencing a 4.8% decrease in the past day, along with a wider market downtrend. Other cryptocurrencies, such as ETH, XRP, MATIC, and Ethereum Classic, have also experienced significant losses ranging from 7% to 10.75%.
Despite short-term volatility, Siu remains confident that Bitcoin will eventually reach a nine-figure valuation. Siu, who is based in Hong Kong and serves as the founder and chairman of Animoca Brands, believes that Bitcoin’s transformation into a status symbol is entirely feasible. Animoca Brands is a prominent player in the Web3 and metaverse space, responsible for successful projects like The Sandbox, as well as being an investor in Axie Infinity and OpenSea.
During an interview with Altcoin Daily, Siu explained that he envisions Bitcoin as more than just a store of value in the future. He sees it as a symbol of status, where its value will not be dependent on its utility but rather on its exclusivity. Siu believes that a status symbol becomes more desirable when its price is astronomically high and unattainable for the majority.
Siu used NFTs as an example of tokens that have become status symbols within the crypto universe. While NFTs now often serve a purpose, such as representing ownership of an asset, they were initially launched solely as symbols of status. For instance, owning a Bored Ape Yacht Club NFT put individuals in the same league as celebrities like Snoop Dogg, Tom Brady, Madonna, and Jimmy Fallon.
Siu emphasized that Bitcoin’s mathematical scarcity contributes to its potential as a status symbol. Owning Bitcoin becomes desirable due to its limited supply and the exclusivity it represents.
Furthermore, Siu noted that Bitcoin’s market dominance has declined significantly over the years, dropping from 85% in early 2017 to its current standing at 54.4%. This decline is attributed to the rise of altcoins like Solana, BNB, and XRP, as well as the continued prominence of stablecoins. However, Siu believes that the growth of these alternative cryptocurrencies is actually driving people back to Bitcoin, as they seek to own a piece of the original blockchain network.
In conclusion, Siu envisions a future where Bitcoin’s value surpasses its current role as a store of value and becomes a symbol of status. He believes that this transformation will drive Bitcoin to reach nine figures, similar to the current trend of NFTs. Additionally, Siu sees the decline in Bitcoin’s dominance as a temporary setback, with the rise of altcoins ultimately leading people back to Bitcoin as they strive to be a part of the OG blockchain network.