Microstrategy CEO says Bitcoin will subsume gold market cap

FILE PHOTO: Representation of the virtual currency Bitcoin is seen on a motherboard in this picture illustration taken April 24, 2020. REUTERS/Dado Ruvic/Illustration

(Reuters) - Microstrategy Chief Executive Michael Saylor told CNBC on Tuesday that Bitcoin is going to subsume the entire gold market cap.

“There’s $10 trillion dollars worth of gold in there, $1 trillion in bitcoin. The bitcoin is going to flip gold and it’s going to subsume the entire gold market cap,” he said in the CNBC interview. “Then it’s going to subsume negative yielding sovereign debt and other monetary indexes until it grows to $100 trillion dollars.”

Saylor also told CNBC that Bitcoin is not for spending and not really a currency and that it’s for saving.

MicroStrategy is a major corporate backer of the digital currency, and is engaged in an almost $1 billion convertible note offering with proceeds going to buying bitcoin.

Reporting By Sinéad Carew; Editing by Alden Bentley and Chizu Nomiyama