Tim Draper has stated that despite the recent price decline, he remains positive about the value of the original cryptocurrency. Draper believes the asset is still useful as an investment tool. The current market is “quite similar” to the dot-com bubble implosion, but with more volatility.
Tim Draper is a founding member of Draper Fisher Jurvetson, a venture capital firm. He has made hundreds of venture capital investments in firms such as Tesla and Theranos. He is also a passionate supporter and investor in bitcoins and blockchain technologies. Draper initially invested in bitcoin through a US Marshals Service auction of about $30K in bitcoin in 2014.
Tim Draper positive about Bitcoin
Tim Draper has clarified his view on bitcoin’s current valuation. Draper emphasised to CNBC that the relevance of bitcoin in the dip that cryptocurrency and conventional markets are facing is due to its inflation hedging characteristics.
Draper said, “I’m still optimistic on Bitcoin because it’s a good inflation hedge. when investors leave, it will separate from tech equities.” I believe that technology equities will continue to fall as much as interest rates rise.
Bitcoin Benefits and Heavy regulation
Draper stated, “I have the faith in hundreds of thousands of workers monitoring the blockchain. A day will come when I will be able to buy food, clothes, and housing in bitcoin, eliminating the need for a national currency regulated by governments and banks.”
Tim Draper also feels that, despite the challenges that bitcoin investments in El Salvador have caused, they have sparked a surge of innovation that is prompting firms in the industry to relocate to El Salvador owing to crypto-friendly policies and laws.
