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Former Goldman Sachs Executive: Bitcoin May Be Too Undervalued


Raul PAL, a former manager of equity and equity derivatives at Goldman Sachs and now CEO at Real Vision Group, believes that Bitcoin's market capitalization is way too undervalued. Speaking in a recent podcast, he noted that even if Bitcoin now has little chance of achieving a market capitalization of $ 80 trillion (for the global money supply and global debt), its current value is “ludicrously” underpriced.

Currently, Bitcoin has a market capitalization of $178 billion, which is not only far from its historical maximum (more than $300 billion), but also from the recent peak of $231 billion (June 26, 2019). However, Raul PAL is not the only one who believes that bitcoin can achieve more and even surpass the market capitalization of gold sometime in the future.

For example, the WINKLEVOSS brothers claim that Bitcoin is a highly undervalued asset too. Earlier this month, they said that Bitcoin is gold 2.0, however, is market capitalization has to reach the level of $7 trillion. Only then, we will finally see the premiere cryptocurrency trading at its true value.

On the other hand, Raul PAL emphasizes that Bitcoin is not money, but a rare crypto asset, which is rather a means of saving and investment, since it is traded.

Answering a question about what macro investors need to accept Bitcoin, Raul PAL replied that he does not know anyone who has not invested yet. However, all of them are investing in Bitcoin so far as private individuals, and not on behalf of funds.


“So that’s how crazy attractive it is and that’s why it’s sucking in so many of these macro guys, because they’re like, ‘Damn, nothing else has this payoff.’ And they’re used to trading in options. Options is what they do. Binary outcomes is what they look for. Asymmetric bets is how you make a career. So they’re looking at the asymmetries embedded in the space and they’re like, ‘Ok, this is super interesting.”

Image courtesy of Celebsolino


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