Billionaire investor Tim Draper argues that businesses are ‘irresponsible’ for not holding Bitcoin. He anticipates Bitcoin hitting $250,000 by the end of 2025 and envisions a fund run entirely on the cryptocurrency. Draper highlights a trend of corporate treasuries embracing Bitcoin and a shift in development focus toward it, despite internal developer disputes over blockchain changes.
In a bold statement at the Financial Times Digital Assets Summit, billionaire investor Tim Draper declared that businesses not yet incorporating Bitcoin into their corporate treasuries are acting irresponsibly. Draper, a well-known advocate for Bitcoin, posited that it should be a staple for every company, reflecting a broader trend as governments begin to recognise its importance in treasury management.
Draper expressed optimism about Bitcoin’s future value, predicting it could soar to $250,000 by the end of 2025. He shared ambitious plans for a fund that would exclusively operate on Bitcoin. According to Draper, the fund would be entirely financed and run in Bitcoin, with entrepreneurs and their workers compensated in the cryptocurrency, all supported by smart contracts for seamless transactions and record-keeping.
Highlighting a shift in corporate behaviour, Draper noted a rising number of firms, like Strategy and Semler Scientific, that are adding Bitcoin to their asset portfolios. Bernstein analysts predict that corporate treasuries could absorb an impressive $330 billion in Bitcoin by 2029, spurred by the success of leading early adopters.
The billionaire pointed to a “gravitational pull” towards Bitcoin, suggesting that it is becoming the preferred choice for development over various altcoin platforms. While previously, innovation revolved around Ethereum and Solana, he argued that the influx of engineers and entrepreneurs is now leaning towards Bitcoin. In fact, Bitcoin is expanding its technological capabilities to include smart contracts and decentralized finance (DeFi).
However, this evolution hasn’t come without debate. The Bitcoin developer community faces internal disagreements regarding potential changes to blockchain operations, specifically around accommodating larger amounts of non-financial data. Some members believe that such changes could undermine Bitcoin’s integrity.
Currently, Bitcoin’s price hovers around $97,000, which is an 11% drop from its record high reached in January during the previous U.S. administration. Draper attributed this stagnation to over-regulation during the Biden presidency and compared the impact of Bitcoin on commerce to the historical significance of gunpowder in warfare. He firmly stated that Bitcoin represents a transformative technology, implying a future trajectory where traditional currencies might become obsolete as the world transitions from fiat to stablecoins and eventually to Bitcoin itself.
Overall, Draper’s insights underscore a shift in how businesses are expected to manage their assets, signalling a potentially significant cultural and economic transformation in the corporate landscape as cryptocurrencies gain more traction.
