Investor Tom Lee says as the US moves on making BTC a reserve asset, Bitcoin could become the most profitable product for the Wall Street giant.
In a new interview with the Compound Podcast, Lee compares the strategic Bitcoin Reserve with the concept of US oil reserves and notes that over $400 is being used to infer in the market for all dollars used to buy oil.
With so much oil speculation, Lee says it needs oil reserves to control supply and not be “whipped” by volatility.
The Fundstrat research director said whether oil speculation amounts to 400 times the market value, BTC as a global reserve asset adopted by the masses could possibly trade more and become the most profitable product of Goldman Sachs and JPMorgan Chase.
“Let’s say (Bitcoin) is now 10% of people’s net worth and banks start using it to protect their information. In blockchain, you can store only one pixel of a 10 million pages of documents, but the hash is detected when you change one pixel. So, you use Bitcoin to protect your information.
Well, that’s really worth it, but wouldn’t the US want to do something to control this blockchain or censor it in some way? And if banks start trading Bitcoin like Citadel, it will likely be the most profitable product for Goldman and JPMorgan…
And if oil is traded 400 times, Bitcoin could be thousands of times, but it would be a highly tradeable product. ”
At the time of writing, Bitcoin is trading at $86,785.
https://www.youtube.com/watch?v=jvbqfwylscy
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