Many global companies are accepting cryptocurrencies like BitCoin. The way Bitcoin has given returns in the past, it is becoming an option for gold for investors. Michael Novogratz, founder of cryptocurrency investment firm Galaxy Digital, believes that the way companies are adopting bitcoin, if the trend continues here, by the end of 2021 this year, a bitcoin price will reach $ 1 million (Rs 76.48 lakh). At this time the price of a bitcoin is about 46800 dollars (34 lakh rupees). According to Michael, more and more companies are allowing their customers to purchase through bitcoins. In the last year 2020, BitCoin gave almost four times the returns and in the last two years it gave about 9 times to the investors.
A few days ago Tesla said that it had bought bitcoins worth $ 150 million (10.9 thousand crores) from corporate cash reserves. After this announcement, the price had increased and reached the level of $ 44795 (32.6 lakh rupees). Apart from this, the company had said that it would allow its customers to buy electric cars from Bitcoin.
Bitcoin future currency
Michael said in a Bloomberg television interview that the way Tesla has asked to approve the use of bitcoin to buy his car, every American company is going to do it soon. Investors believe that other companies will also keep a large part of their reserves in the form of bit coins which will act as a hedge against inflation or weakness of the dollar. Michael described cryptocurrencies like Bitcoin as the currency of the future.
The situation changed after Elon Musk’s announcement
Formerly Goldman Sachs Group Inc. Novogratz, a hedge fund manager at Trader and Fortress Investment Group, says that Chief Financial Officers (CFOs) remain skeptical about Bitcoin’s price falling by 25 per cent in just two days in January last month. Due to the volatility of bitcoin, the CFO has a problem making it a regular part of the corporate treasury. However, Novortz believes that now the world’s richest man Elon Musk has said to invest in it, then the situation will change. Now CFOs and CEOs of other companies will also approve Bitcoin.
Bitcoin reached the hail from the floor in 12 years
Bitcoin was launched in 2009. At that time, talking about the rate of bitcoin, about 1309 bitcoins would have been available in a dollar. Comparing it with today, the situation has changed completely. Today the prices of one bitcoin are going beyond 47 thousand dollars. Companies like PayPal and Tesla have accepted this, that is, they are approving transactions in Bitcoin. In such a situation, by the end of this year, it is estimated that if its trend increases, its price can touch the level of 1 lakh dollars. Talking about India, the central government is preparing to bring legislation for prevention on private cryptocurrencies like bitcoin and the way will be prepared for the central bank RBI’s digital currency.