Crypto investors these days are all faced with the tough choice of which token to buy in an industry that is churning out a fresh batch of newly minted digital coins each month. However, according to one professional trader, the best bet of them all remains Bitcoin, which is currently the world’s biggest cryptocurrency by market value.
Susquehanna International’s Bart Smith Optimistic on Bitcoin
In an interview with CNBC’s “Fast Money” on Tuesday, July 10, well-known Wall Street trader Bart Street revealed his continued optimism for the world’s biggest crypto Bitcoin. Smith is the head of the Digital Asset division for the global trading and tech firm Susquehanna International Group.
This optimism might seem a bit out of place at a time when Bitcoin’s price has not yet recovered to its December 2017 high, but Smith presented a very strong argument to support his case. According to the trader, people are actually functionally using Bitcoin these days, which makes it the “currency of the internet.”
As an established crypto with a higher degree of usage compared to other tokens, this also makes BTC the best bet for investors. Bart Smith told CNBC’s “Fast Money” that:
“If you want to own the asset that you can actually use today and that people are functionally using, it’s bitcoin. The use case for bitcoin is valid today, which is the currency of the internet.”
Bitcoin’s Biggest Competitive Advantage
For Smith, Bitcoin’s biggest competitive advantage lies in the fact that it has established use cases. While he is aware of the advantages touted by some Bitcoin’s competitors such as smart contracts or lightning network, the digital asset trader hinted that it might take some time before these factors come into play in the market.
“If you’re looking at these other use cases, smart contracts, or lightning network or these different technological advancements, I think people are coming to realize, those things are very difficult and aren’t coming anytime soon.”
Bitcoin Vs. ICOs
Based on statistics alone, investing in established cryptocurrencies such as Bitcoin is a lot safer than investing in still-unknown tokens during ICOs. While investors might experience some losses in Bitcoin due to its volatility, there is a big chance of them totally wiping out their investment if they go the ICO route.
The reason for this is that 56 percent of firms offering ICOs do not make it past 120 days after the fundraising based on a Boston College study. Among the firms included in the study, only 44 percent managed to survive past the 4-month period. This means that, if they choose to back the wrong token during its ICO phase, investors could lose their money entirely.