Matthew Sigel, the head of digital assets research at VanEck, has predicted that the value of Bitcoin could reach $3 million by 2050. This forecast is based on Bitcoin’s potential role as a global reserve asset and its integration into international trade. Sigel’s model assumes that central banks will allocate 2% of their reserves to Bitcoin, paving the way for this ambitious price target.
Sigel believes that this prediction is feasible, with Bitcoin’s value growing by around 16% annually over the next few decades. He has expressed a high degree of confidence in Bitcoin’s long-term growth trajectory.
Furthermore, Sigel has highlighted the shifting financial dynamics driven by the BRICS coalition, which has recently welcomed six additional nations. Several of these countries, including Argentina, the UAE, and Ethiopia, are already utilizing government resources for Bitcoin mining. This development suggests a concerted move towards adopting Bitcoin to circumvent traditional Western financial constraints. The BRICS coalition has become a formidable economic group, potentially rivaling the G7.
Russia, in particular, has announced plans to fund Bitcoin mining and AI infrastructure development within BRICS territories, laying the groundwork for trade settlements in Bitcoin. Sigel warns that if the U.S. fails to adapt to the evolving digital asset landscape and continues its current fiscal policies, it risks losing influence in global finance. He envisions a future where Bitcoin becomes the primary trading medium, prompting the U.S. to reconsider its stance on digital assets.