Everyday Investors, Not Big Firms, Will Boost Bitcoin: Fireblocks CEO

Michael Shaulov, CEO of Fireblocks, thinks that normal people, not big companies, will cause the biggest rises in Bitcoin's price. BlackRock, a major investment company, recently applied to create a Bitcoin fund. This caused Bitcoin's price to go up and other companies to apply for their own funds.

However, Shaulov believes that big companies won't cause big price changes. "When institutions buy Bitcoin, they do it slowly and carefully, so the price doesn't change much," he said.

In 2020, lots of companies invested in Bitcoin, but the price didn't go up much until regular people started buying a lot of it. Shaulov said that normal people buy Bitcoin in a less careful way, which can make the price go up or down quickly.

Shaulov did say that the "physics of Bitcoin" - its limited supply - means that if lots of people buy Bitcoin, the price should go up. "It will be easier for some institutions that are currently not participating in the market to add Bitcoin to their portfolio."

Shaulov believes that Bitcoin's role is still not clear for many companies. Is it a hedge against inflation? A public reserve currency? A safety net against government financial mistakes? Shaulov thinks Bitcoin is the "ultimate insurance asset."

He said, "It doesn't matter if at one point it’s worth $15,000, $20,000 or $60,000. You just need to have enough of it in that variance, in order to survive a period.”