‘Over $15 trillion will flow into gold and Bitcoin’

Speaking on the ‘The Pomp Podcast’ with host Anthony Pompliano, macro investor Dan Tapiero believed that roughly $15 trillion in wealth could flow into Bitcoin and gold over the next ten years. The co-founder of digital asset equity fund 10T Holdings, said that financial institutions could invest up to 10% of their portfolios in gold and 5% in Bitcoin, in the next decade.

He explained that some institutions could even reverse that ratio and some speculative investors that are used to sinking money into venture capital may invest 10-15% of their portfolios in each. He said in the podcast: 

That’s a huge, huge chunk – I mean 15% of $100 trillion is $15 trillion. That could be $15 trillion to flow into [gold and Bitcoin]. Or more. I think it’ll eventually be more.

In this conversation, Tapiero also discussed whether gold and Bitcoin will co-exist in the future.  According to Tapiero, Bitcoin was much bigger than gold, and that it could be a value protocol for the internet. In terms of impact, the investor said that Bitcoin was “the fastest horse” and in the next five years he saw: 

I see gold at 4,000, so that’s a double but if gold’s at 4,000, Bitcoin is probably somewhere between 300 and 500,000 so that’s a 20 30 x, well it was from last week, it’s still I mean, it’s about a 20, and so I don’t really think that that anyone in the gold world even… they’re not going to debate that…

The investor who boasts 25 years of experience investing across asset classes on Wall Street said he did not “understand all the constant comparisons” of Bitcoin to gold and said: 

Because you’re limiting what it is, and if you say to an investor, ‘Oh, it’s just digital gold,’ they’re like, ‘No it’s not.’ And that’s it. But if you say to them, ‘This is an invention akin to the invention and discovery of electricity or the invention of the combustible engine,’ then they’re like, ‘What are you talking about? 

The investor also referred to Pompliano’s article about gold versus Bitcoin which he believed would not end in coexistence. He said: 

Look there’s no question that Bitcoin is going to outperform gold so I think people should stop talking on twitter about it. 

Tapiero further added that from a technologist background Bitcoin was new technology whilst gold was old. He also said that Bitcoin “could be a system that grows equal in size to the entire legacy system.”