Boomers Next to Adopt Crypto, a Trillion Dollars Could Flow Into Bitcoin Over the Next Year, Says Novogratz – Bitcoin News

Galaxy Digital CEO Mike Novogratz predicted that nearly $1 trillion could flow into bitcoin next year as wealthy baby boomers jump into the cryptocurrency. Using Morgan Stanley as an example, he says more and more banks will start offering bitcoin to their customers.

$1 trillion can be invested in bitcoin

Michael Novogratz, a longtime bitcoin investor and founder of Galaxy Digital, discussed the prospects for bitcoin in an interview with Reuters Digital Assets Week last week. He explained that as cryptocurrencies become more popular, wealthy baby boomers will be the next generation to get involved in the development of cryptocurrencies :

As much as $1 trillion could come from this huge pool of assets next year.

After Morgan Stanley announced plans to offer its high-net-worth clients access to bitcoin funds, Novogratz predicted that other major banks and trading platforms would follow suit. He says this could lead to a stampede of wealthy baby boomers.

This new offering makes Morgan Stanley the first major US bank to offer bitcoin investing to wealth management clients. Two of the three bitcoin funds initially offered are owned by Galaxy Digital : Galaxy Bitcoin Fund LP and Galaxy Institutional Bitcoin Fund LP. Commenting on the major investment bank’s decision, Novogratz said.

The money will arrive early next month.

The Galaxy Digital boss isn’t the only one expecting an influx of investment from baby boomers. JMP Securities recently predicted that about $1.5 trillion could be pumped into bitcoin by wealthy investment bank customers. The firm based its forecast on a modest portfolio allocation, citing the fact that about $30 trillion in assets in the U.S. asset management industry do not currently have direct access to bitcoin.

As for whether bitcoin will go mainstream, Visa CEO Al Kelly recently said he expects the crypto currency to become very common, and his company is already working to enable bitcoin payments in 70 million stores. Other firms like Goldman Sachs also see strong institutional demand for BTC, while Deutsche Bank believes cryptocurrency is too important to ignore.

Baby boomers are those born roughly between the end of World War II and the mid-1960s. They were the main beneficiaries of the massive stimulus packages that boosted asset values after the global financial crisis of 2008-2009. Some of them see bitcoin as an asset that can significantly increase in value and also as an asset that can protect their savings from inflation caused by mass printing of money.

Novogratz believes bitcoin is more suited to storing valuables than as a currency or means of payment:

If you’re afraid the U.S. is printing too many dollars… convert some of your savings into bitcoins.

Do you agree with Mike Novogratz on bitcoin? Let us know your comments in the section below.

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frequently asked questions

What will be the next bitcoin crypto currency?

It has a market capitalization of nearly $9.2 billion. Tezos (XTZ) is becoming the most popular cryptocurrency for new projects, and as a result, it’s up over 85% since the start of 2020. Many speculate that Tezos could eventually overtake Bitcoin, as it is more scalable and less resource intensive.

Will bitcoin rise in 2021?

2021 will be very similar to 2017, which means bitcoin is expected to do even better in 2021 than it did in 2020, just over 300 percent, Lee told CNBC. After a strong 2020 in which bitcoin reached an all-time high with gains of around 300%, 2021 could be even stronger.

Will bitcoin rise or fall in 2020?

Bloomberg Research 2020 Bitcoin Report Bloomberg Research recently released a new report on the future of bitcoin as an investment. According to a major media center and financial terminal, bitcoin is expected to reach $12,000 and $20,000 by the end of 2020.

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