Last week we welcomed Anthony Scaramucci, founder of SkyBridge Capital and former White House Communications Director, on The Blockchain.com Podcast. While discussing his odyssey to Bitcoin, he revealed that he had been watching Bitcoin for some time, waiting for a few signs before getting into the game himself.
He learned about Bitcoin back in 2014 and vowed to get in once these three conditions were met:
- 100 million users worldwide. To Scaramucci, this level indicates that Bitcoin’s community grew to the point where it becomes feasible that it will one day be a broadly accepted form of tender. Where are we at today? He estimates that the number is now around 150 million users.
- Government acceptance. Regulators around the world have made moves to pull Bitcoin and cryptocurrencies under existing frameworks that government money transmission and other financial activities. They’ve also begun actively investing in tax guidance and enforcement. To Scaramucci, this is a good thing because these actions suggest that there is less appetite for an outright ban on these technologies. The growing body of regulatory guidance shows how cryptocurrency can exist within the system in a compliant way.
- Institutional-grade storage. Scaramucci knew that the custody landscape had to evolve beyond the point where people were still losing Bitcoin on old phones, etc. For him, Fidelity’s entrance into the custody space was the final piece of the puzzle.
All three of these factors have been met, especially over the last year. That’s why Scaramucci felt it was time to get SkyBridge Capital off the sidelines. These conditions together show a new kind of stability in Bitcoin that was not so obvious in previous market cycles. Three of the biggest questions now have clear answers.
You can listen to the whole podcast here. The section we reference above begins at around the 6 minute mark.