In a recent prediction, Tim Draper claims that the price of bitcoin could reach $250,000 by the end of 2022.
“I’m either going to be really right or really wrong [but] I’m pretty sure that it’s going in that direction”.
In fact, Draper believes that bitcoin will be increasingly used as a currency, as is already happening in El Salvador or Nigeria, so much so that he believes that within a year and a half everyone could accept bitcoin as a means of payment.
Combining the increased adoption with the fact that the supply is limited to 21 million BTC, of which 18.7 million have already been issued, Draper is decidedly bullish.
Tim Draper, bitcoin and Elon Musk
He also mentioned that there are several engineers working to improve the functioning of bitcoin, as evidenced by the Taproot update that was approved a few days ago, and which will become operational in November.
According to the American investor, bitcoin in the financial system is the equivalent of Microsoft in the software sector, or Amazon in e-commerce, and he believes that BTC will be at the centre of all financial activity for the next two or three decades.
With regard to the objections on energy consumption raised by Elon Musk, Draper said:
“Elon, first of all, is one of the most brilliant men in the world…maybe the most brilliant, [but] he got this one wrong”.
Who is Tim Draper
Draper is famous both for buying nearly 30,000 BTC seized by the US Marshals Services in 2014, at a price of less than $1,000 each, and for having previously invested in Twitter, Tesla, SpaceX and Skype.
Back in 2014, when the price of bitcoin had fallen to around $500, he said it would rise to $10,000 within three years, and in late November 2017, this prediction came true.