While Bitcoin, Ethereum, and other crypto-assets have seen parabolic growth over recent years, they’re far from relevant on a macro scale. Dan Tapiero, the co-founder of DTAP Capital and Gold Bullion Int., summed up the situation well when he wrote:“$200 billion too small to matter for macro authorities. Gold is $12 trillion and no one really cares. #Bitcoin has clearance up to at least 250k. 25x before big boy global macro authorities start caring that it exists.”
According to a fund manager in the space, though, chances are that the crypto market will soon swell to the trillions.Crypto is on track to hit a multi-trillion-dollar market cap: fund manager
Spencer Noon, the founder of DTC Capital, believes that the crypto market is on track to reach an aggregate market capitalization in the coming years.
His optimistic sentiment came down to one crucial factor: there are billions of “crypto dollars coming on-chain to use DeFi.” Crypto dollars (or cryptodollars) is a term recently used to describe U.S. dollar stablecoins based on decentralized networks such as Tether, USD Coin, and TrueUSD.“The strong fundamental backdrop to #crypto — which is unlike any bull market previously — is that there are billions of cryptodollars coming on-chain to use #DeFi. Unless that shows signs of slowing, we are on track for a multi-trillion dollar aggregate marketcap for the space.” The strong fundamental backdrop to #crypto — which is unlike any bull market previously — is that there are billions of cryptodollars coming on-chain to use #DeFi. Unless that shows signs of slowing, we are on track for a multi-trillion dollar aggregate marketcap for the space. — Spencer Noon (@spencernoon) September 26, 2020
Noon is right: according to Coin Metrics, there is now more than $20 billion worth of tokenized dollars on blockchains like Ethereum, Tron, and EOS. This is up from the $2-3 billion seen just two years ago.
From on-chain data, it appear...