NYDIG CEO Ross Stevens is bullish on Bitcoin, saying that cash is no longer an asset but a liability. The founder and executive chairman of NYDIG talked about how Bitcoin is lifelong financial security in a recent interview with MacroMinds. According to him, the crypto giant is an unconventional way to escape poverty.
NYDIG acquired a substantial amount of Bitcoin at a time Bitcoin was not popularly known as it currently is. After the Bitcoin purchase, NYDIG held onto it until the world started recognizing its potential. In addition to Bitcoin’s popularity, an increasing number of people are purchasing Bitcoin at least more than they have in the past decade. The CEO said that these Bitcoin investors are “on a pace to buy even more this year.”
The effect of Bitcoin on NYDIG was recognizable after it fully committed to it back in 2017. Stevens said BTC had “profound effects” on the company. He mentioned that Bitcoin is the “first store of value in human history whose supply is completely impervious to any amount of increased demand.”
In 2020, the Fed established an ultra-loose monetary policy causing a decline in the value of the currency. After then, companies begin to see Bitcoin as a treasury asset, a cash alternative.
During the interview, Stevens stated:
“Cash is no longer an asset: it is a liability.”
NYDIG CEO Speaks on Companies Adopting Bitcoin as Treasury Asset
He continued that cash being a liability has fueled companies’ decisions to adopt Bitcoin as their treasury reserve asset. Speaking on the growing adoption of Bitcoin as a treasury asset among companies, Stevens noted:
“For companies like Stone Ridge and others that have adopted the bitcoin standard versus companies in their industries that have not, the results are profound, and part of the key is a shift in mindset,” which is that “bitcoin is not vulnerable,” like fiat and not subject to the whims of human frailties like decision making.
MIllennials and life insurers are the most unusual pair in the active people with increasing interest in Bitcoin. Their common interest, according to the NYDIG Stevens, is that “they have the longest fiat denominated liabilities basically in the world.”
According to Stevens, the world is at a time of great transition. He stated financial and insurance institutions will begin to offer Bitcoin-backed services in the next 12 to 24 months. He continued that banks will start to operate the purchase and trading of BTC as a reserve asset as soon as the coming year. Already, NYDIG is in the first stages of its partnership with central banks to begin the rollout in the first quarter of 2022.
Stevens mentioned that he is meeting with the top executives of central banks to address theory fears and oppositions. Although he did not mention the officials’ names, he said their meeting to discuss inflation and Bitcoin lasted for about four hours.