BITCOIN will not drop to zero dollars, the CEO of Earn.com and an early cryptocurrency investor has revealed.
Bitcoin will never fall to zero, Balaji Srinivasan, a board partner at Silicon Valley venture capital firm Andreessen Horowitz, has claimed.
Speaking to CNBC, he said: “I don’t think bitcoin is going to go to zero.
“The reason for that is that we have historical evidence.
“We have a huge community worldwide of all of these holders who have held through very tough times including like an 86 percent drop from January 2014 to January 2015.
“And that was when the whole thing had much less attention, much less energy and infrastructure than it does today.
“With that said I think a good long-term projection is that bitcoin’s market cap in the long term I think continues to rise.
“But its market share as a percentage of total coin market capitalisation continues to fall.”
Srinivasan said that though bitcoin had found its niche in the market as a digital gold, it would have to share the cryptocurrency space with digital currencies with more use like Ripple and ethereum.
He said: “That is because there are other types of coins coming out that are fulfilling other roles in the ecosystem.”
“Bitcoin has a lock on the digital gold application for which longevity is very important.
“There are things like fast payments or private payments or technology platforms.
“Those things that other coins are potentially better at.”
Bitcoin fell 3.26 percent to $10,774.34 at 22:55 in London.