Bitcoin set for $1 trillion in market cap riding on these 3 use cases: New report

  • Bitcoin market capitalization could surge to $1.1 trillion supported by only three use cases.
  • The report says that Bitcoin is a better replacement for gold because it is scarce, auditable and portable.

A report released by Ark Investment Management, ad adviser based in New York reckons that Bitcoin has the potential to rise to over $1 trillion in market capitalization. The report titled, Big Ideas 2020 identifies three use cases that will massively drive Bitcoin price. The medium of exchange, store of value and protection against asset seizure are the three uses cases examined.

The report outlined that Bitcoin rise to $1.1 trillion will replace a fraction of the $40 trillion money supply. Moreover, the digital asset is set to function as a catalyst for currency demonetization.

As a store of value, Bitcoin does better than gold according to the report because digital assets are portable. Bitcoin is also scarce and auditable. As BTC positions itself as a possible replacement for gold, investors can expect a surge in the market cap to the tunes of $800 billion. This is possible as long as Bitcoin takes up at least 15% of gold’s $9 trillion market capitalization.

Moreover, in the event high-net-worth individuals put only 5% of total $46 trillion wealth into Bitcoin, the market would surge to $1.3 trillion. The report explains:

Today, a global battle among monetary systems, both sovereign and non-sovereign, is underway. In the long run, ARK expects that the winning monetary systems will ensure:

1. Money will be transferred and stored seamlessly.

2. Money will not be diluted arbitrarily.

3. Money will not be frozen or seized.

4. Money supply will be auditable, and transactions will not be censored.

5. Record of transactions will be secure and immutable.”


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News & Analysis

Editors’ Picks

Crypto Today: Bitcoin, Ethereum and Ripple meet the ultimate resistance

BTC/USD pair is exchanging hands at $9,765 after a bearish Asian session on Monday. There was a struggle over the weekend to break that barrier at $10,000.

More Cryptocurrencies News

Ripple Price Analysis: XRP/USD spirals as $0.27 beckons

The cryptocurrency market is in shambles on Monday towards the end of the Asian session. Unlike the weekend session which was characterized by the struggle to break key barriers across ...

More Ripple News

Ethereum Price Analysis: XRP/USD dumps $7 from $275 weekly close

Ethereum had impressed many analysts and crypto enthusiasts with its weekly close above $275. Many had started seeing the grand gesture as the beginning of the journey to $300. However, sellers had a hidden ...

More Ethereum News

Litecoin Technical Analysis: LTC/USD ignores golden cross as rejection $80 continues

Litecoin price digs deeper into the Bollinger Band lower curve amid high volatility and a stronger bearish grip. If the short term trendline support gives in, there is a chance the price would slide back to the support at $65.

More Litecoin News


Bitcoin Weekly Forecast: BTC bulls plot the revenge

Bitcoin's market capitalization settled at $176 billion, which is 62.8% of the total digital assets market.

Read the weekly forecast