The former Google Product Director is in the Bitcoin news today for stating that only 1 percent of the world’s population can own more than 0.28 BTC – mainly because of the fixed supply of Bitcoin. However, Steve Lee meant this in a positive connotation and pointed out to the fact that Bitcoin is still in the early stages, stating:
“If you own 0.28 BTC and HODL, you can be certain no more than 1% of the current world’s population can ever own more BTC than you. A modest investment of $1,830 today can ensure you are a 1%er in a future Bitcoin world.”
According to him, the scarcity of Bitcoin will rise throughout the next years and more and more investors and institutions will continue to accumulate the cryptocurrency. This will obviously reduce the total possible number of people that can hold one whole Bitcoin (BTC) which is why investors with more than 0.28 in BTC should be encouraged right now.
Since the total supply of Bitcoin is fixed at 21 million BTC, it cannot be altered. According to Chainalysis which is a blockchain forensics company investigating crypto transaction, 4 million BTC are permanently lost on the blockchain as a result of theft, loss of wallets and private keys – being no longer accessible by their owners.
According to Kim Grauer who is a Senior Economist at Chainalysis, the lost supply of Bitcoin is not taken into consideration by the market cap. In other words, this means that the real price of BTC should be substantially higher, as more than 4 million BTC are estimated to be lost.
Earlier this year, Grauer stated:
“That is a very complex question. On the one hand, direct calculations about market cap do not take lost coins into consideration. Considering how highly speculative this field is, those market cap calculations may make it into economic models of the market that impact spending activity.”
That said, based that the total Bitcoin supply is around 17 million, only 0.8 of the world population can own more than 0.28 BTC and less than 0.2 of the world population can own more than 1 BTC.
There are not enough bitcoins for everyone with a Coinbase account to own one. https://t.co/1NJpD6N6MJ
— Jameson Lopp (@lopp) October 3, 2018
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