Retail investors are facing a narrowing window to acquire Bitcoin as institutional interest surges, as per Sergej Kunz, the co-founder of exchange aggregator 1inch. Bitcoin (BTC) is transforming into an alternative reserve currency, driving up institutional demand and potential exclusion of retail investors, Kunz stated at Cointelegraph’s LONGITUDE event in Dubai. Kunz emphasized the urgency for retail users to consider owning at least one Bitcoin soon before it becomes unaffordable. He also pointed out that if the US initiates Bitcoin purchases for a strategic reserve, even smaller nations might struggle to secure the cryptocurrency. Kunz predicted a future scenario where countries vie over Bitcoin ownership, with the US taking the lead. Demand for Bitcoin has surged since US President Donald Trump announced significant tariffs on US imports in April, triggering a global trade conflict. Animoca Brands co-founder Yat Siu highlighted Bitcoin as the only true hedge against inflation that transcends borders during the panel discussion. The week of April 21-25 witnessed Bitcoin exchange-traded funds (ETFs) attracting over $3 billion in inflows as institutions sought refuge in the “digital gold” amidst escalating macroeconomic uncertainties. Analysts anticipate institutional demand could propel Bitcoin’s price to $200,000 per coin this year, with projections of exceeding $1 million by 2029 due to institutional adoption. Data indicates that Bitcoin ETFs and other institutional funds currently hold over $128 billion worth of BTC, while corporate treasuries hold around $73 billion. Sovereign states like the US, China, and the UK collectively possess over $130 billion in BTC, primarily from law enforcement seizures rather than direct purchases. The article emphasizes the growing institutional interest in Bitcoin and its potential to reshape global financial dynamics in the near future.
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