Stephen Pair, the CEO of the cryptocurrency merchant platform BitPay, has recently commented on the matter of Bitcoin’s price valuation. Moreover, he also shed some light on how soon he believes blockchain payments will reach mainstream adoption.
Future adoption could be a bigger price driver than a Bitcoin ETF
Specifically, this all came in an interview with CNBC on December 13th. Pair suggested that speculation of future adoption is, in his view, currently driving Bitcoin’s price more than ”actual utility.”
Furthermore, Pair also put Bitcoin’s current valuation in comparison with its historic price peaks.
”A very big component of the [Bitcoin’s] price is certainly speculation. It’s investors that are speculating on the future usage and adoption of this technology. I’m sure a small component of that price is the actual utility,” Pair noted.
In addition to this, Pair was also quizzed on his views relating to a potential Bitcoin ETF. Many cryptocurrency observers have called for the approval of a cryptocurrency ETF, believing this could prompt a price rally.
However, Pair suggested that the possibility of a cryptocurrency ETF is not the main catalyst for a potential price movement. Rather, he noted that ”adoption will push the price higher” rather than ETF adoption or ETF launches.
”I do think we’ll see those kinds of prices at some point in the future, if history is any guide,” Pair went on to predict.
Pair: Daily mass-usage of blockchain-based transactions 3 – 5 years away
Moreover, Pair was also asked what his outlook on daily usage of blockchain-based transactions was. He responded that he firmly believed that such adoption is currently less than half a decade away.
”I used to say 10 years,” Pair added, ”but now I think it’s more like 3 – 5 years until you can go into a retail establishment, and everybody’s going to expect that that store will be able to accept a blockchain payment.”
More specifically, Pair explained that he was not only referring to Bitcoin or other various tokens seen today. Rather, he also talked ”about issuing dollars on a blockchain or euros on a blockchain.”
This all comes following much uncertainty when the first cryptocurrency ETF will be approved. SEC commissioner Hester Peirce recently stated that this is not something the cryptocurrency community should ”hold its breath” for, stating it could happen either ”20 years from now” or ”tomorrow.”
Image Source: “everipedia.org”
Rasmus Pihl is a writer for Toshi Times by day and an avid follower of the blockchain industry by night. Rasmus holds a Bachelor’s Degree in Marketing from the Gothenburg School of Business, Economics, and Law and runs a Swedish marketing consulting firm. Moreover, when he isn’t writing for Toshi Times, traveling, working or changing the world in some other capacity, Rasmus is more than likely caught up in postgraduate studies.