The cryptocurrency trader and YouTuber, Tone Vays said that Amazon’s CEO, with a budget of $ 140,000 million, couldn’t buy all of the Bitcoin (BTC) in circulation.
What would happen if Bezos tried? “It would raise the price of Bitcoin so much that I couldn’t afford it.”Vays announced to Cointelegraph in a message dated April 23.
Why couldn’t Bezos buy all of the BTC on the market?
On the day of Vays’ comments, all of the speculative capital held in Bitcoin gave the asset a total market cap of around $ 137 billion, with each coin priced at around $ 7,500, according to CoinMarketCap data. .
There have been approximately 18,343,537 BTC in circulation in the past 11 years. Some of However, these coins are in different wallets and platforms that are considered long term. Some early users have even lost unknown amounts of probably unrecoverable BTC.
Essentially Only a certain amount of BTC is liquidor immediately negotiable on exchanges and markets. “Bitcoin is a very small liquid asset,” Vays said. If Bezos tried to buy all the available BTC, everyone would start buying Bitcoin after hearing the news, This would further increase the price of the assetVays explains.
Could people panic at all?
Continuing his statement, Vays said the situation could also cause fear in the market.. “If I had managed to buy a significant portion of Bitcoin to take on Satoshi, or even say 25% of all Bitcoin, it could cause some panic in the market if people think they can throw away money and lower the price at any time. “ Vays explains.
Vays referred to a similar situation about 40 years ago. Between 1979 and 1980, Hunt brothers W. Herbert and Nelson Bunker tried to buy all of the silver on the market, also called “monopolization of the market” as described in a Business Insider article.
Much like Vays believes this would happen with BTC, The massive purchase of the Hunt brothers increased the market value of silver from $ 6 to $ 50 an ounceaccording to Business Insider.
“The government intervened to close it”Vays said about Hunt’s silver coup. “I can also see how the government intervenes when an American tries to enter the market.”Vays said about Bitcoin and noted the spread of the asset.
Philip Salter, mining operations manager at Genesis Mining, also commented on the same hypothetical scenario on April 22.
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