Morgan Creek Capital Management, the American asset manager claims in its second quarterly market outlook that cryptocurrencies will replace fiat currency eventually.
What Does the Report Say?
The second quarter market outlook report by Morgan Creek states that investors will remain interested in digital currencies. Talking about several benefits of cryptocurrency and its potential market impact, the asset manager said that crypto would one day replace fiat currencies.
The report states:
“In our view, blockchain is a truly revolutionary technology that will disrupt the entire Chain of Value in the same way that the Internet disrupted communication and commerce. [We] believe money as we know it is going away and it will be replaced by the Internet of Money (or Internet of Value). [We] believe Bitcoin (and other cryptocurrencies) are here to stay and they are just getting warmed up.”
The financial markets are now slowly embracing Bitcoin, and the largest cryptocurrency in the world is slowly becoming acceptable in the mainstream.
Morgan Creek’s Crypto Journey
The asset manager has already jumped on the crypto bandwagon. Together with Bitwise Asset Management, it has launched a Digital Asset Index Fund designed for institutional investors who want to invest in the 10 largest crypto assets.
Morgan Creek further notes that Bitcoin prices are following a 2014 pattern. According to its analysis, the cryptocurrency will be able to reach $100k over the next three years. New advances in the technology and the advent of the Lightning Network could help in speeding up Bitcoin adoption. By the end of 2018, Bitcoin will reach $22,000, moving up to $41,000 by 2019 and $75,000 by the end of 2020. It is expected to reach $100,000 by the middle of 2021. It also suggests that the Bitcoin market cap could reach $8.4 trillion within a decade.