With western Christianity set to celebrate the basis of its theology this weekend, bitcoiners the world over might be showing up to churches in droves, hoping one resurrection might lead to another. The ecosystem’s main prophet, Tom Lee of Fundstrat Global Advisors, has outlined four reasons why enthusiasts ought to be bullish on the future: growing trust in digital everything, the awakening millennial boom, crypto recognized as a genuine asset, and Wall Street’s inevitable entry into the space.
Also read: Massachusetts Censures Five ICO Crypto Startups in a Single Day
Though it’s Looking Bleak, Tom Lee Believes There’s Good Reason to be Bullish on Bitcoin
Cryptocurrency portfolio holders have not had a great few months. In fact, it has been downright miserable, and appears to be getting worse. Enter Tom Lee, quarter century professional financial veteran, who has been relatively “on” when it comes to generally predicting bitcoin prices.
He recently gave a talk about the basis of the crypto economy, and why it matters. First, understand Mr. Lee is a researcher. This means fundamentally he manages no capital, but rather his entire business is based on the trust of his clientele.
His are not opinions in the advocacy sense, as he urges everyone listening/reading to come to their own conclusions. He’s merely presenting data and making inferences. He’s no idealogue. He’s not a cypherpunk.
Tom Lee
Mr. Lee’s thesis begins by positing how bitcoin is a head-scratcher for legacy finance. It was started with zero dollars invested, no venture capital, no board. It grew without going public. Even his own clients disagree with any emphasis on cryptocurrency as an investment strategy.
Nevertheless, modern equities have gone digital in significant ways. The top five tech stocks in the S&P 500, for example, are all digital. And what the digitization of economies allows is for decentralization of money. Centralization is increasingly looked upon as a vulnerability, as when the Malaysian central bank mistakenly wired 50 million USD to a hacker.
Furthermore, monetary systems are built on trusting governments, and that trust has steadily been eroding both in the United States and around the world. In fact, for Americans, trust in government is at a fifty-year low. In places like Brazil, Argentina, Greece, trust has bottomed out, and right alongside a blossoming of crypto interest. These simple facts would seem to not bode well for the future of fiat.
Millenials Are the Largest Single Generation in History
Trust erosion in government-backed banks has infected the present millennial cohort. Having lived through their parents getting rekt in 2008, this group is very distrustful of centralization. According to a 2016 survey, 92% of millennials do not trust banks. Cryptocurrencies like bitcoin are creating what they crave: decentralization, digital scarcity, and native trust – keys to future adoption.
Millenials are going to be a giant economic force, especially when one considers they’re roughly
