14 September, AtoZ Markets- Venture capital investor Tim Draper foresees that total cryptocurrency market capitalisation will hit $80 trillion in the next 15 years- DealStreetAsia reported September 14.
Draper attributed the noticeable change in the cryptocurrency market in recent months to people who haven’t recognised digital currencies as a new asset class, as he stated in the DealStreetAsia PE-VC Summit 2018 in Singapore, indicating that as soon as people become more familiar with the technology, the latter will transform many important industries all over the world, predicting that it has the potential to replace more than just government fiat.
Draper sees also the average person will drive equal interest into digital assets.
Crypto Booming is a Matter of Time
As adoption continues in a more organic approach, with investors being those supporting the projects with more than just their money, Draper envisions this will line up an incredible increase in market valuation. Just as 2018 has witnessed the advent of new companies taking interest in cryptocurrency and blockchain, some of which hold household name status such as Volkswagen and IBM, more industries around the globe will continue to be transformed and beholden to what cryptocurrency has to offer.
“I think it’s going to have such a transformative effect on industries that we never even imagined would be transformable. The internet went after industries that were $10–100 billion dollar markets, cryptocurrency will go after trillion dollar markets — these are finance, healthcare and insurance, banking and investment banking, and governments.”, Says Draper, believing that cryptocurrency has the potential to create a similar impact. Beyond the use as a currency, crypto represents a new form of digital asset and a technology that could disrupt more than just the landscape of fintech.
It is worth mentioning here, that the Russell 3000 Index — which accounts for 98.5 percent of the entire U.S. stock market — was worth $30 trillion. The “staggering” amount of money followed a successful year in 2017, in which the market experienced 22 percent returns- Barron’s reported in January this year.
Cryptocurrency Will Change the Game
To bring the idea more to our perspective, Draper also compared the current state of the crypto market with the early days of Internet, saying: “The internet started in the same way, it came in big waves and then it kind of came crashing down, and then the next wave comes concentrated but much bigger, and I suspect the same thing will go on here (with Bitcoin).”
Draper had described Bitcoin to be bigger than the internet, in a previous statement earlier this year.
The thing that Brian Kelly of CNBC’s Fast Money agrees on, comparing cryptocurrency to the “Internet in the 1980s” also, referring to that Bitcoin (BTC) is still in its early stages.
Kelly confirmed as well, that while he used to see crypto as comparable to the Internet in 1995, he now understands that a better comparison is further back, adding: “I think this technology is going to work, it’s going to be game changing, but it’s very early days, so we can have this massive volatility.”.