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Mike Novogratz, founder and CEO of Galaxy Digital Holdings — a leading cryptocurrency investment firm listed on the Toronto Stock Exchange — pointed to a major shift in the global adoption of Bitcoin. In a post on Tuesday via X, Novogratz announced that countries are already buying Bitcoin.
Nation-state Bitcoin FOMO is real
“Countries are already buying Bitcoin in huge quantities – and these are huge pools of capital entering the market. We are seeing widespread global adoption and the next rally could be huge. Buckle up. He met last week with Bloomberg TV male via X.
In an interview with Bloomberg, Novogratz detailed the unprecedented interest from sovereign entities. He mentioned a confidant of his – the person who introduced him to BTC in 2013 – who is currently in the Middle East. “He’s never seen anything like this before,” Novogratz said. “He’s convincing more people to buy Bitcoin in the three days he’s been there than ever before in his entire career, huge pools of capital. So we’re seeing something global.”
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Novogratz noted that when former President Donald Trump called out in Nashville that he intended to be a “crypto president” and a “bitcoin president,” it caught the attention of international leaders. “Other leaders have heard that,” he noted, noting that geopolitical factors could contribute to a “stunning rally” in the Bitcoin market.
When asked about the possibility of the United States creating a strategic bitcoin reserve under a Trump presidency, Novogratz remained cautious. “I still think that’s a low possibility,” he said. He cited the complexities of legislative processes in the United States, stressing that while the executive branch or the House of Representatives may show enthusiasm, the Senate often urges restraint. “This is the role of the Senate,” he said, noting that Republicans do not have the 60-seat majority needed to move forward with such initiatives unilaterally.
However, Novogratz acknowledged the potential benefits of the US embracing Bitcoin on a strategic level. “It would be very smart for the US to take the bitcoin they have and maybe add some to it,” he suggested, adding that it would signal its commitment to being “a technology-first, crypto-first, digital-asset-first country.” A country.” While he does not believe the US dollar requires a Bitcoin backing, he admitted that if a strategic Bitcoin reserve were created, “Bitcoin is headed to $500,000.”
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“If this happens in the short term without a strategic Bitcoin reserve, it will mean six, seven, eight years,” Novogratz warned. “Then it’s just a scramble to get the hot commodity.” He expressed concerns that such a scenario could be an indicator of hyperinflation, which historically leads to societal instability. “In every country that suffers from hyperinflation, the results are very bad,” he noted.
Discussing Bitcoin’s potential to rival gold as a store of value, Novogratz highlighted the generational shift in investment preferences. “The total market cap of gold is $16 trillion,” he explained, which translates to roughly $800,000 per bitcoin if it reaches parity. “When does Bitcoin become gold?” he asked rhetorically. Novogratz, who turns 60 next week, admitted that he still owns gold, describing himself as an “old man.”
But he pointed out that younger generations are less inclined to invest in gold. “Forty-year-olds don’t own gold. Thirty-year-olds don’t own anything,” he noted. “As we see this generational shift, Bitcoin should match gold within five or ten years, and that will get you to $800,000.”
At press time, Bitcoin was trading at $93,000.
Featured image from YouTube, chart from TradingView.com
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