Bitcoin could be worth 40 times its current value one day, Cameron Winklevoss — one half of the famous twins — told CNBC on Wednesday.
The cryptocurrency had a market capitalization or value of $135 billion on Wednesday, according to CoinDesk data, after the price recovered following a violent sell-off. Forty times this would be over $5 trillion.
Cameron Winklevoss made the call after comparing bitcoin to gold during a CNBC-hosted chat at the Milken Institute’s MENA Summit.
“Taking bitcoin in isolation … we believe bitcoin disrupts gold. We think it’s a better gold if you look at the properties of money. And what makes gold gold? Scarcity. Bitcoin is actually fixed in supply so it’s better than scarce … it’s more portable, its fungible, it’s more durable. Its sort of equals a better gold across the board,” Winklevoss told CNBC.
“So if you look at a $100 billion market cap today, now last week it might have been more like 200, so it’s actually a buying opportunity, we think that there’s a potential appreciation of 30 to 40 times because you look at the gold market today, it’s a $7 trillion market. And so a lot of people are starting to see that, they recognize the store of value properties. So we think regardless of the price moves in the last few weeks, it’s still a very underappreciated asset.”
Even at the lower $100 billion market cap, a 40 times price appreciation would peg bitcoin’s value at $4 trillion. Winklevoss did not give a time period but throughout the interview, mentioned he and his brother Tyler were taking a 10-to-20-year view.