Saifedean Ammous, author of "The Bitcoin Standard," argues that Bitcoin already functions as money and will become less volatile than gold while surpassing its market capitalization. He countered arguments that Bitcoin's fixed supply makes it too volatile for exchange, stating that holding it is using it as money.
The debate over Bitcoin's volatility and its potential to replace gold as a store of value and medium of exchange is central to its long-term adoption and valuation, impacting investors and the broader digital asset market.
Saifedean Ammous, author of "The Bitcoin Standard," asserted that Bitcoin already functions as money and is poised to become less volatile than gold while eventually surpassing its market capitalization. Ammous stated on X that holding Bitcoin constitutes using it as money, and its limited use as a payment method does not negate its monetization.
His remarks were a response to Professor Lawrence H. White, who argued in a separate X post that Bitcoin's fixed supply makes its price too volatile for a reliable medium of exchange. White suggested that stablecoins have captured transaction volume due to their more stable nature.
Other industry figures share the view that Bitcoin could rival gold. In May 2025, André Dragosch, Bitwise's head of European research, predicted a Bitcoin price of $1 million by 2029, which would align its market capitalization with that of gold. Currently, Bitcoin's market capitalization stands at $1.6 trillion, while gold's is approximately $29 trillion, requiring an 18-fold increase for Bitcoin to surpass it.
Earlier, in April 2025, Blockstream CEO Adam Back predicted that Bitcoin would increasingly serve as a monetary hedge against global financial instability and rising fiat inflation, similar to gold's role.
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