Most Bitcoin price predictions are just numbers. Scaramucci has just made an argument.
In a widely shared tweet, Anthony Scaramucci, founder of SkyBridge Capital, explained why he believes Bitcoin not only competes with gold, but beats it.
“The dollar bill is made of linen and cotton. But we accept it because we trust it. Over 16 years, Bitcoin has built its own system of trust — decentralized, no central authority, no single point of failure.” Scaramucci wrote.
Goldman Sachs and Morgan Stanley validate the Bitcoin thesis
Scaramucci pointed to Morgan Stanley’s entry into the Bitcoin market Goldman Sachs is applying for a Bitcoin ETF As proof of this, this thesis is being implemented in real time in the product lineups of the world’s two most powerful investment banks.
These companies move slowly and cautiously, and only when the institutional situation is holding up. When they appear, the conversation changes.
Scaramucci says Bitcoin is now part of… “The model portfolio for individuals and institutions around the world.” A year ago, this sentence would have raised eyebrows. Today is just a description of what is happening.
Why $1 million worth of Bitcoin creates a market cap of $21 trillion
There will only be 21 million Bitcoins. If each coin reached $1 million, the total market value would be $21 trillion — still less than the estimated value of all the gold ever mined, but as Scaramucci puts it: “Faster to transport and easier to store.”
Scaramucci referred his followers to Niall Ferguson’s book The Rise of Money.
The basic argument in Ferguson’s book is that money has never derived its value from the material of which it is made. It derives its value from trust – collective belief in the system. The Renaissance was financed by Italian bankers who invented credit. The French Revolution was sparked by a stock market bubble. Ferguson believes that finance is the backbone of every major event in human history.
Scaramucci’s point is that Bitcoin has spent 16 years building exactly what Ferguson described – a system of trust – and has done so without central authority or government guarantee.
“Every characteristic that has defined money throughout human history – Bitcoin checks every single box.” Scaramucci wrote. “That’s why I’m optimistic.”
Scaramucci has 70% of his wealth in Bitcoin
Scaramucci is not a neutral observer here. SkyBridge Capital has previously set a target of $1 million in Bitcoin by 2032, tied to the 2028 halving cycle. He revealed that 70% of his personal wealth lies in Bitcoin and has been actively buying it during the current drawdown.
Not everyone buys this argument. Economist Tony Annett has directly contradicted this, saying that Bitcoin still fails the three classic tests of money – medium of exchange, unit of account, and reliable store of value.
But the combination of a serious argument for monetary theory, two Wall Street giants moving into the space simultaneously, and a steady supply of 21 million coins is exactly the kind of setup Scaramucci has been building his thesis around for years.
When will the price rise – this is something that only the markets and time can answer.
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