Tim Draper: Fiat To Falter, Crypto Assets To Succeed
Tim Draper Holds His Unwavering Belief In Crypto Assets
Ran NeuNer, the CEO of OnChain Capital and the host of CNBC Africa’s “Crypto Trader,” recently took to the Crypto Invest Summit in Los Angeles to speak with industry leaders, commentators, analysts, and prominent investors to garner an insider look on their short-term and long-term visions for the cryptocurrency realm.
One industry leader that NeuNer spoke to was Tim Draper, an American venture capitalist that has an unbridled penchant for Bitcoin.
Opening the guest appearance, which took the form of an on-stage talk at the aforementioned conference, NeuNer queried Draper about why the positive fundamentals news — impending Bakkt launch, the announcement of Fidelity’s crypto branch, approaching Bitcoin ETF ruling, growing regulatory traction, amongst others — hasn’t affected the crypto market in the slightest.
Staving away from answering the question directly, Draper noted that he is looking at this industry as a long-term transformational tool for the next “four to five years,” implying that he doesn’t focus on the day-to-day price action. The prominent venture capitalist went on to add that he is sure that “there will be no need to use political (fiat) currency again,” due to the fact that crypto assets are decentralized, frictionless, and, when you boil it all down, are “just better.”
Returning to the question at hand, Draper did note that Bakkt’s physically-backed Bitcoin (BTC) futures launch, which is slated to occur on December 12th, will likely give this market “a bit of a boost,” but didn’t elaborate on the number/percentage value he had in mind.
NeuNer, taking his normal interviewee questionnaire for a twist, then asked Draper if this industry’s affection for institutional involvement could be seen as a ‘slap to the face’ of decentralization and the ethos of Bitcoin, so to speak.
Speaking as any diehard decentralist or true Bitcoin advocate would, the aforementioned venture capitalist, who founded Draper Fisher Jurvetson and a university that shares his surname, noted that at its core, Bitcoin and many other crypto assets are decentralized and aren’t inherently linked to centralized/traditionalistic institutions. He elaborated on this astute point, noting:
It is free and open and honest. It’s an honest currency and so people are going to want to use it in that way. I think that these [institutional platforms] are interim steps or bridges towards a world where we are watching borders dissolve and the world opening up.
Draper added that eventually, if crypto sees global adoption, governments will essentially be vying for our attention and funding through goodwill, instead of controlling the way we live and what we do with our money.
Discussing this point in-depth, the Draper University founder drew attention to the regulatory climate in China and Japan, noting that the former is hesitant to go all-in on crypto (in spite of a Shenzhen court’s recent ruling), while the latter nation is ready to dive into crypto, with a leading Japanese regulator stating that he has no intention to curb the maturation of this nascent industry.
Further bashing China, Draper noted that “it is easy to tell which one of those economies will do really well over the next forty years and which one will not.”