Aly Madhavji of the Blockchain Founders Fund has recently told RT International that the upcoming Bitcoin halving won’t lead to the exodus of miners. He predicts that the BTC price will almost double until that time.
Miners will be “better off” after halving
Bitcoin miners have netted more than $14 bln in profits. During the upcoming halving, the mining reward will decrease from 12.5 BTC to 6.25 BTC. However, Madhavji it will not take a toll on BTC’s hash rate if the coin’s price surges above $20,000.
Given the recent turmoil with the trade war and economic instability, we could see the price of Bitcoin doubling between now and the havling. At the price above $20,000, miners would actually still be better off even in that scenario, and I think that’s a very realistic scenario that we can look forward to given all the instability around the world.”
Lagging behind crypto hubs
Madhavji has also weighed in on the current regulatory uncertainty in the United States. Plenty of countries, such as Malta and Switzerland, are jumping head-first into crypto, but the US is reluctant to move forward with regulations.
Moreover, stablecoin operator Tether, which underpins a huge chunk of Bitcoin’s trading volume, remains in the crosshairs of the NYAG.
We will see whether Tether will be able to hold its dominant position,” Madhavji says.
Venus vs. Libra
Meanwhile, Facebook’s Libra has been berated by banks and regulators around the globe. As previously reported by U.Today, a delegation of US lawmakers went to Switzerland to examine the potential impact of the soon-to-be-launched cryptocurrency.
Madhavji claims that crypto behemoth Binance, which has recently announced its Venus stablecoin, will work with regulators to avoid the problems Facebook has faced.