The world’s largest cryptocurrency is known for being programmable money and a limited supply of 21 million BTC.
The digital gold is slowly climbing up the ranks of the largest asset by market cap. It is portable, fungible, and, most importantly, censorship-resistant.
In 2020, the leading cryptocurrency attracted legendary investors, celebrities, and companies to adopt it as a safe haven asset, a hedge against inflation.
But according to AngelList founder Naval Ravikant, who is a crypto and DeFi proponent, it’s not the institutions that have been coming in masses to Bitcoin this year or even the miners who are responsible for securing the network that make it valuable.
It is because of the bitcoin community that’s simply crazy about it.
“Bitcoin isn’t valuable due to tech or miners or exchanges or institutions. Bitcoin is valuable in direct proportion to diehard believers that agree to transact directly with each other under its rules,” said Naval on Twitter on Friday.
“Someone, somewhere, is always ready to give you their house for Bitcoin. It’s the best such ruleset ever designed. Its believers are ideological,” he added.
#Bitcoin is a swarm of cyber hornets serving the goddess of wisdom, feeding on the fire of truth, exponentially growing ever smarter, faster, and stronger behind a wall of encrypted energy.
— Michael Saylor (@michael_saylor) September 18, 2020
Many still don’t believe in this digital asset, which can’t be printed mindlessly by the central banks, but this is the side you need to be on to, according to Ravikant, who’s an investor in both Bitcoin and Ethereum.
“Betting against Bitcoin has been, and will continue to be, an expensive proposition.”
And if you think you can change his mind, that is impossible because it can only be changed if Bitcoin suffers an “irrecoverable technological failure.” Since it was created in 2009, bitcoin has been running non-stop, with its running time being 99.9%.
“Certain attacks due to lack of fungibility and failure of Bitcoin to upgrade in response. Emergence of a better technological platform with a diehard user base” are other reasons that could change Ravikant’s mind about the flagship cryptocurrency, but in his opinion, “they’re each unlikely and priced in.”