Although Bitcoin has been around for a decade now, there are still people in the world who believe that it’s a passing fad. For instance, Berkshire Hathaway chiefs Warren Buffett and Charlie Munger have repeatedly railed against Bitcoin and all forms of cryptocurrency. However, for as many critics crypto has, it boasts just as many supporters. One of those supporters happens to be billionaire Tim Draper. And according to Draper, crypto’s time is upon us.
Essentially, Draper believes that cryptocurrency will supplant fiat currency. And he believes that this will be a good thing for people. Right now, as Draper sees it, governments are accustomed to controlling their citizens through currency. But now, after the advent of crypto, people have more choices. They don’t have to use funds that are tied to their governments; they can become free of the bonds that tie them to their governments for unhealthy reasons. And Draper thinks that this will be good for both people and the governments that serve them. In his view, governments use fiat currency to control their people. When the citizens switch to using crypto, governments will have to think about what they can do to attract more people to their countries—basically, they will have to figure out how they can serve their residents better.
Draper points out that his hypothesis is supported by the Japanese government’s recent actions. Ever since Japan accepted Bitcoin as one of its national currencies, Draper believes that there has been an uptick in businesses and entrepreneurs looking to Japan as a place they want to target. The venture capitalist also points out that many won’t want to invest in fiat when they use their funds to procure crypto. He believes that there is somewhat of an age issue when it comes to Bitcoin, stating that he thinks the under-35 crowd is much more likely to take Bitcoin as payment. This is because they see crypto as valuable. In Draper’s opinion, those who are over the age of 35 may be more reticent to take BTC. Also, he’s not averse to investing in alts. Whenever there’s an altcoin that is tied to a new concept or idea, Draper is paying attention. With alts, his thought process tends to be that if there’s a lot of work and investment surrounding a new project, it’s probably a good alt.
