Who is investing in bitcoins? Who is using bitcoin? It can be difficult to keep track of this information; the data are scarce but it is understandable. Being a pseudo-anonymous currency can do it, but there is room for inference.
Let's start with some points of interest:
- There are more 24,000,000 Bitcoin addresses on the blockchain with 49.14% bringing less than 0.001 TB (about $ 6.50 USD). The first three richest portfolios are home to about 500,000 BTC, each owned by a cryptographic exchange.
- 8% of Americans own Bitcoin. Of those who do not, another 8% plan to buy.
- Almost 18% of millennials have bitcoins and 3% of baby boomers.
Among the 8% of Americans who use bitcoins and millions of addresses all over the world, bitcoin users are more easily divided into two categories.
The former, being the lion's share, represents investors and HODLER. The second, a significantly smaller group, are those individuals who spend, earn, and live in bitcoins, or the version closest to this.
In both groups, there are some important names that come to the forefront of the conversation. Individuals who have contributed bitcoins in various ways, both as first and as investors or perhaps as evangelical purists. These individuals constitute the people who are investing in bitcoins, the people who use bitcoins and often the people who proliferate in bitcoins.
Who invests in Bitcoin? Meet the Bulls and Bears
The Bitcoin investment community can be a noisy environment. Bulls foretell the advent of a new era and bring a shadow over unbridled fun. However, there are some individuals out there who rise above the calamity and deserve a little more of our time and attention than the general noise.
Here is a small collection of the noisiest bulls and the most ferocious bears that roam the Bitcoin community.
The Bitcoin Bull
The bulls: bitcoin investors with an optimistic outlook on where the price of BTC will go. Some prominent names have come to the point of predicting a price forecast and even when to expect the moon. However, not all bitcoin bulls quantify their predictions, but still maintain a positive outlook toward the future of bitcoin and blockchain.
Tom Lee @fundstrat
CO-founder and head of research at Fundstrat, a financial consulting firm, Tom Lee cemented an optimistic attitude towards Bitcoin. Tom Lee has been accused of being a permabull on Wall Street, which could lend itself to his current sentiment on Bitcoin. However, confident or not, Tom Lee has a record of solid strategies and research while working at JP Morgan and now Fundstrat.
When the moon? $ 25,000 by the end of 2018
Tim Draper @TimDraper
A a Silicon Valley venture capitalist pioneer, Tim Draper was one of the first investors in companies like Skype, Hotmail, Baidu and Overture, to name a few. Draper continued his adventure by investing with the goal of sowing fast-growing technology and facilitating education reform.
When the moon? $ 250,000 by 2022
Tyler and Cameron Winklevoss @winklevoss
Perhaps the most famous for their dramatic break with Facebook, the Winklevoss twins are advertised as the world's first bitcoin billionaires. The brothers currently have a large footprint in space as owners of the crypto exchange Gemini and claims to own at least one percent of the total BTC in circulation.
When Moon? $ 320,000 in 10-20 years
Not all bitcoin bulls are making predictions about public prices, but they remain equally prepared for the revolution. There are many bitcoin investments that do not directly affect the purchase of BTC. Investors and fund managers have put their trust in hundreds of projects aimed at improving and expanding the bitcoin ecosystem.
Blythe Masters @blythemasters
Current CEO of Digital Assets Holdings and former JPMorgan Chase executive. Masters and Digital Assets Holdings focus on cryptographic-based computing tools that improve the efficiency, security, compliance and speed of securities trading such as bitcoin.
Michael Novogratz @novogratz
Founder and CEO of Galaxy Digital. Novogratz cut his teeth initially working with Goldman Sachs after leaving the New Jersey National Guard. He later worked at Fortress Investments and was ranked among the other billionaires in 2007 and 2008 by Forbes. Novogratz remains bullish on bitcoin and states that "[it’s] almost essential for every investor to have at least from 1% to 2% of their portfolio [in crypto]"In an interview with Money of CNN.
Dan Morehead @dan_pantera
Active CEO of Pantera Capital, which currently holds over 50 projects related to bitcoin and blockchain in its investment portfolio. Morehead led Pantera in over 23,000% profits for its investors from the opening of the workshop in 2013.
The Bitcoin Bears
Bears: individuals not yet sold on the future of the bitcoin and its price. Bears can often only be opponents of the BTC rating and not necessarily coupled with a pessimistic perspective on bitcoin or blockchain technology itself. Their skepticism can often be rational and serves as a healthy balance for the bulls they charge on the market.
Jamie Dimon, CEO of JP Morgan Chase, was not shy in his opposition to Bitcoin, coming to call it a scam and comparing it to the Dutch bubble of tulips. Dimon was skeptical about where the value of BTC comes from, saying in an interview with Reuters"The currency will not work, you can not have a business where people can invent a currency out of thin air and think that the people who buy it are really smart." More recently, Dimon drove a little back when he admitted that he now believes "the blockchain is real" inside an interview with CNBC.
Bill Harris, former CEO of Paypal and Intuit among other prestigious positions. Harris uses strong words to cement his bearish attitude towards bitcoins a self-produced article entitled "Bitcoin is the biggest scam in history". In his article, Harris denies that the bitcoin has a value due to its merits in the processing of payments or that it is a valid reserve of value. Harris strongly warns that bitcoin is a concerted scam and is "a giant pump-and-dump scheme, which the world has never seen".
Charles Munger, billionaire and vice president of Berkshire Hathaway, sees little potential in bitcoin and would rather see it trample on. Munger said, "It's just disgusting." Bitcoin is harmful poison. "The investment legend is strongly against the idea of bitcoin and other cryptography projects and shares this attitude with its CEO, Warren Buffet. Their shared feelings will probably keep the bitcoin out of Berkshire Hathaway's wallet.
Who is using Bitcoin? Meet the loyalists
Outside of investment, real-world use cases are still rather niche than their fiat alternatives. There are a handful of projects that make encryption more usable on a daily basis with commercial additions and consumer payment options. Big retailers like Microsoft, Steam e pornhub they have integrated cryptographic payment options, but these are still rarely used.
The individual ways of spending and earning bitcoins are currently distributed and often opt-in rather than the default option. Bitcoin spending commits beyond the ad hoc uses available to most of us. Bitcoin purists, or those who live a life more closely on their own, are the first proof of concept for mass adoption. These individuals test bitcoin by integrating it into their lives and taking the risk of replacing the fiat.
Until bitcoin is the default, both in replacement and in collaboration with fiat, these adoptive pioneers are the best examples of bitcoins in nature, beyond the exchanges.
Andreas M. Antonopoulos (@aantonop), the bitcoin supporter, has actively designed his life to use bitcoins instead of fiat. Antonopoulos is famous for having lived the Bitcoin as directly as possible since its introduction to it in 2012. He even used this as the backbone of why he believes bitcoins are real money despite the efforts of some people to resize it as such. Antonopoulos said, "Why bitcoin money? Because other people think it's money." You can write a dozen doctoral dissertations that explain exactly why bitcoin is not money, [but] I lived there for two years. So it does not matter what the thesis says because for me it is money. "
Olaf Carlson-Wee (@polychaincaphe is now best known for being the founder of Polychain Capital, the crypto investment company that has transformed $ 4 million into over $ 1 billion. However, before Polychain, Olaf has been reported having lived on bitcoin for three years. Olaf began to receive his salary exclusively in bitcoins after joining the young crypto-exchange coinbase and becoming his first employee. For him "… the main advantage of being paid in Bitcoin [was] a change of mentality. "
Who is using in bitcoin? Investors and speculators with a few users every day have spread among them. Individually, young millennial males are the most common owners. Of the owners, investing and speculating is most of the bitcoin and most cryptocurrency activities.
So even if the markets are volatile and the use cases are few, for now, the real fun could be the drama and the stories that develop between the bulls, the bears and the personalities of the bitcoin universe – lunar speculations, healthy skepticism and pioneering users alike.