Post
Topic
Board Speculation
Re: For Those Wondering Why The Current Rally
by
evoorhees
on 18/07/2012, 21:30:17 UTC

If all 21 million Bitcoins were in circulation (which they are not, and over a million may simply be "lost") today, and only 1% of the World's GDP transferred through Bitcoin, the value of a single Bitcoin would be ~$2200/coin. These are using all the most conservative estimates, because we're obviously not at 21 million Bitcoin, and we're probably still a long way from 1% World GDP, but I do think that target is attainable in the next year, and, given the success of Silk Road, could be attainable within one year, we just can't measure it as legitimate world trade.

Would 1% global GDP via Bitcoin justify a price of $2,200 per coin? Absolutely.

Could this happen some day? Absolutely.

Will it happen next year, or even the year after that? No way in hell.

Of course, if Bitcoin is utilized even in .001% of global trade, then Bitcoin has won, and will probably conquer the world shortly thereafter.