Former Coinbase CTO Balaji Srinivasan has placed a million-dollar bet on the price of Bitcoin (BTC) over the next 90 days, predicting that the price of the cryptocurrency will hit $1 million by June 17.
the bet was initiated on March 17, when pseudonymous Twitter user James Medlock offered to bet anyone $1 million that the United States would not experience hyperinflation. A few hours later, the former Coinbase CTO accepted the bet.
Sir, I think we have a deal. https://t.co/9JYaLNo9Eq
—James Medlock (@jdcmedlock) March 18, 2023
Under the proposed terms, if the price of Bitcoin does not reach $1 million by June 17, Medlock will earn $1 million from the dollar-pegged stablecoin USD Coin (USDC) and 1 BTC. In the same way, if Bitcoin is worth at least $1 million by date, then Balaji can keep 1 BTC and $1 million worth of USDC. Srinivasan explained in the thread:
“You buy 1 BTC. I will send $1M USD. This is ~40:1 odds since 1 BTC is worth ~$26k. The term is 90 days.
Related: Banking Crisis: What Does It Mean for Crypto?
According to the thread, other Twitter users helped set up a smart contract with the betting terms. Srinivasan also revealed that he would move another million dollars in USDC for another bet on the same topic:
“I’m moving $2 million to USDC for the stake. I’ll do it with Medlock and one other person, just enough to prove the point. See my next tweet. Everyone else should go buy Bitcoin as it will be much cheaper to lock up.” for 90 days”.
Medlock and Srinivasan made the bet based on their differing views on the future of the US economy amid ongoing uncertainty about the country’s banking system.
srinivasan argues that there is an impending crisis that will lead to deflation of the US dollar and thus a hyperinflation scenario that would drive the price of BTC to $1 million. Medlock, on the other hand, is bearish on the coming hyperinflation in the country.
Meanwhile, the price of Bitcoin has reached $27,387 as of this writing, with its market capitalization adding more than $194 billion year-to-date to growth of 66% in 2023, outpacing stocks. Wall Street banking amid fears of a global banking crisis.
Also, for the first time in a year, the BTC price moved away from US stocks, rising around 65% compared to the S&P 500’s 2.5% gain and the Nasdaq’s 15% drop, Cointelegraph reported.
