Dilbert.com 2014

Just 1% from the One-percent.

What would happen if the One-Percent were to invest 1% of their assets into cryptocurrencies?

I spent the last few days at Consensus 2018 in New York City attending what has become the largest blockchain conference in the world. CoinDesk, the organizer of the event had planned for 4,000 attendees which would have been a 68% increase compared with Consensus 2017. Apparently, we were almost 9 000 from Crypto-Experts to “Crypto-Curious” seeking information and insights into one of the most disruptive technologies of the past ten years.

If growth in conference attendance is any sign of interest and frenzy then Blockchain has reached new heights. We can surely ask if blockchain and crypto-currency has reached a tipping point. Have we reached an inflection point in general interest? What could bring blockchain and crypto-currencies to the next level? What will it take?

What would happen if the One-Percent were to invest 1% of their assets into cryptocurrencies?

How much do One-Percenters control

Before you can talk about the One-percent, it’s important to put figures into perspective by understanding exactly what that means. The average income of the One-percent of the population is estimated at $717,000, compared to the average income of the rest of the population, which is around $51,000. The real disparity between the classes isn’t in income, however, but in net value: The One-Percent are worth about $8.4 million, or 70 times the worth of the lower classes.

The total wealth in the U.S. is estimated to be around $95Trillion and the One-percent control 38,6% so they own $37 trillion.

“ The 1 percent are executives, doctors, lawyers, and politicians, among other things. Within this group of people is an even smaller and wealthier subset of people, 1 percent of the top, or .01 percent of the entire nation. Those people have incomes of over $27 million, or roughly 540 times the national average income. Altogether, the top 1 percent may control as much as 43 percent of the wealth in the nation; the next 4 percent control an additional 29 percent.”

What is 1% worth for One-Percenters

CoinMarketCap estimates total market cap at $385Billion (figures from May 17, 2018) and According to total U.S. wealth figures if One-Percenters were to just invest 1% of their assets into cryptocurrency that would amount to $366.7Billion so the crypto market capitalization would almost DOUBLE overnight and with ONLY One-Percenters from the USA contributing.

If you estimate the world’s wealth at approximately $241trillion and One-percenters controlling 50% then 1% percent would amount to $1.205Trillion which would TRIPLE crypto-currencies market cap. Now if you factor in the effect of One-percenters investing into crypto-currencies on the rest of the population now realizing that if it is good for the “Richest-of-the-Rich” then maybe it is good enough to put a portion of your retirement fund into cryptos then you can only imagine how crypto market caps could grow to $Trillions.

I hope you enjoyed this little thought experiment. I am CMO at Interblockchain.io where we develop innovative solutions to make transacting crypto-currencies easier by Moving Tokens between blockchains. In a world with cryptocurrency market cap in $Billions and soon $Trillions, moving tokens between different blockchains to transact is more than ever necessary.