Dan Morehead, chairman of digital currency exchange Bitstamp, said bitcoin and other digital currencies will likely become assets serious investors will want in their portfolios.
Bitcoin is "going to disrupt money just like voice-over IP" took away the dominance of giant telecommunications companies on communication, he said.
The blockchain technology behind bitcoin has led to the development of many other digital currencies, such as ethereum and litecoin.
Morehead said that in a blockchain-based world, the protocols such as bitcoin take 95 percent of the earnings, while the "application," such as the digital currency exchanges, take a smaller share of the profits.
"Only a tiny bit is in the companies," he said, pointing out that cryptocurrency exchange Coinbase only has a valuation of about $1.5 billion, compared with bitcoin's more than $70 billion market capitalization.Sooner or later this will make an impression to the investors.
Source: Bloomberg Pro Terminal
Trader Bozhidar Arabadzhiev
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