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> This means upper bound on BTC price is $250K. Dividing the total market cap by the total number of BTC relies on an incorrect assumption that BTC are never d
by will4274 6y ago
> This means upper bound on BTC price is $250K.
Dividing the total market cap by the total number of BTC relies on an incorrect assumption that BTC are never destroyed. But, in fact, we know that plenty of people have lost BTC keys. It's totally possible that the practical supply of BTC is far lower (e.g. 10%) than the supply of BTC on paper. In an extreme case (e.g. if less than 1% of BTC are actually usable), the paper market cap of BTC could exceed the size of the US economy, even while the true market cap is less than 5% (using your number).