Back in April, legendary investor Cathie Wood of Ark Invest turned heads in the crypto world with a breathtaking Bitcoin (BTC 0.51%) price prediction of $1 million. That, of course, was before the market meltdown. Now, six months later, Ark Invest has reiterated its $1 million price target for Bitcoin. After running the numbers, the investment firm concluded that the three basic use cases for Bitcoin support a future market capitalization of $28 trillion, or more than $1 million per Bitcoin.
What’s truly mind-blowing about that calculation is that the team at Ark Invest arrived at that $28 trillion market cap figure by adding a new use case for Bitcoin: as “an insurance policy against arbitrary asset seizure.” This most likely refers to the concerns that many libertarian backers of Bitcoin have about governments in general. Ark Invest seems to be implying that people could choose to invest in Bitcoin as a way to protect their savings from government confiscation. Mind blown.
Arbitrary asset seizure
In years past, “arbitrary asset seizure” was something that only happened in dystopian novels like George Orwell’s 1984. Unless there was criminal activity or other wrongdoing involved, governments couldn’t simply take your money. But consider what’s happening now in Western society. We are very quickly moving from “de-platforming” to “de-banking” people based on their views. Emboldened by the efforts of Big Tech social media companies to ban, censor, and de-platform people who have certain views or opinions, it now looks like financial services companies are starting to roll down this same slippery slope as well.