Digital Currency Group CEO Bullish About Bitcoin but Prophesies Doom for other Cryptocurrencies
There are currently over 2096 cryptocurrencies listed on CoinMarketCap. The founder, and CEO of DCG, however, has said he believes in Bitcoin and believes it could replace gold someday, saying he is bullish about the premier cryptocurrency. Barry Silbert thinks a majority of those 2096 crypto assets will fail before you hear about them.
The former Wall Street investor Barry Silbert, the CEO and founder of Digital Currency group and Greyscale Investment told CNBC on Wednesday, February 14, 2019, he was more bullish on Bitcoin than he had ever been. Silbert now joins other long-term disciples in Bitcoin such as Mike Novogratz, Tim Draper and the Winklevoss twins who have doubled up their crypto dreams amidst the ongoing crypto winter and believe the Bitcoin is just where it is meant to be.
Silbert, a long-standing industry expert who left his position at SecondMarket to dip his feet into crypto space, admitted that while Bitcoin may look quite ugly from the technical standpoint, it still retained a relevant underlying value. According to Silbert, most of the other cryptocurrencies will eventually disappear but “Bitcoin is still king.” He explained during the phone interview:
“I’m not a believer in the vast majority of digital tokens and believe most will go to zero. Almost every ICO was just an attempt to raise money, but there was no use for the underlying token. The vast majority of what’s out there will be eliminated.”
Silbert speaks as an insider and among the pioneer investors who have seen the best and the worst of price surges and plunges followed by recovery. Bitcoin may have been in existence for just about ten years, but in that short time it has experienced at least three bear market plunges and is yet to recover from the most recent one.
Part of the reason Silbert is bullish about Bitcoin is his belief that the world’s leading cryptocurrency is on its way to replacing gold as a store of value. Younger investors, he says, don’t view gold as their parents did and are more likely to choose Bitcoin over gold. He remarked:
“As far as I’m concerned Bitcoin has won the race to be digital gold.”
As we roll into 2019, Silbert believes that Bitcoin’s use case as a buy and hold commodity is emerging and ought to be promoted. The CEO opines more capital institutional investors will come in and propagate the market. Already, institutions like Fidelity and Bakkt have joined the cryptocurrency fray. Silbert believes it is only a matter of time before investor sentiments change and Bitcoin’s price snaps back hard.
“Certain institutional investors that have put money to work, and many more are considering it. Until now they wanted to make sure they’re not catching a falling knife.”