Susquehanna International Group’s Digital Asset Head Places His Bet on Bitcoin
Susquehanna International Group’s digital asset head, Bart Smith, believes that the best bet for any cryptocurrency investor is bitcoin. He does not believe that the digital coin has lost any of its sheens even after losing significantly in the current year. His main contention is that the virtual asset has already established its use cases among different sections of the society. This meant that people are using the virtual asset, which is also leading in value, functionally around the world.
The currency of the Internet
Participating in a “Fast Money” debate on CNBC, he pointed out that the bitcoin’s use case is valid currently and termed it as “the currency of the internet.” Smith suggested that if anyone wants to invest in any cryptocurrency, the best bet is nothing but that of bitcoin mainly due to its use cases. That is because it provides a competitive edge over other digital currencies in the marketplace. The comments assumed significance in the wake of uncertainty in the virtual currency market.
The primary reason behind that was the increased scrutiny by the regulators on a number of digital coins apart from initial coin offerings (ICOs). Bitcoin was no exception and came under intense scrutiny in the recent past though it continued to enjoy the leadership position in the cryptocurrency market. Though bitcoin price managed to cross $6,500 market last week after trading below $6,000 mark in June, the digital asset is struggling to hold back at those levels and giving up gains steadily. The Wall Street trader does not want to risk investing in any other coin.
Smith said that when bitcoin futures were launched, there was excitement. He said that “They got really excited about all these other tokens and used cases. And all of the sudden you saw all of these smaller tokens, as people got excited about them, massively outperform. We got way ahead of ourselves.” He also pointed out other use cases of bitcoin like smart contracts and lightning networks.
Smith thinks that with different technological advancements, people have started to realize “those things are very difficult and aren’t coming anytime soon.” He also cited that a number of people working in a country send money to a different country, which is termed as a bitcoin-friendly one. Another advantage is that bitcoin has wider acceptance among different sections than any other virtual asset.
Slow and Expensive
Smith termed the money transferring method of conventional banks and the Western Union as not only slow but an expensive one. He thinks that there was every chance of stopping the people from sending money to different locations for whatever reasons. On the other hand, bitcoin provides not only faster means of transfer of money but is also cheap. On top of it, no one could stop the sender.
On Wednesday, bitcoin was losing about 0.8 percent to trade about $6,371 in Asian market after losing about 5.2 percent in the 24-hour trading period. The digital currency has suffered more than 60 percent loss in the current year after hitting a lifetime in December last year.