Billionaire venture capitalist Chamath Palihapitiya believes that incorporating Bitcoin (BTC) into the local currency of certain countries would be a strategic move. In a recent episode of the All-In Podcast, Palihapitiya revealed that he had a conversation with Wences Casares, a Silicon Valley entrepreneur who introduced him to Bitcoin when it was trading at around $80 in 2010. Casares shared a “powerful concept” with Palihapitiya, outlining a path for the widespread adoption of BTC.

According to Palihapitiya, Casares explained that there are countries that may never fully embrace Bitcoin, even if they support it. However, there is a growing number of countries that will adopt a dual-currency system, where they recognize both their local currency and Bitcoin as necessary forms of payment. The local currency would be used for daily transactions, while Bitcoin would be utilized for purchasing long-term assets with residual value. Palihapitiya finds this concept to be incredibly powerful.

Furthermore, Palihapitiya mentioned that Casares asked him to analyze Bitcoin’s performance after each halving event, which cuts miners’ rewards in half. Palihapitiya presented a chart suggesting that if Bitcoin follows the pattern of the previous market cycle, it could potentially reach a price close to $500,000 by October 2025. He believes that if Bitcoin’s value appreciates to this extent, it could surpass gold and become a transactional asset for hard assets. When combined with concerns about the devaluation of the US dollar, Palihapitiya sees intriguing opportunities arising.

As of the time of writing, Bitcoin is trading at $67,886.

Please note that the opinions expressed in this article are not investment advice, and investors should conduct their own research before engaging in high-risk investments involving Bitcoin, cryptocurrency, or digital assets. All transfers and trades are done at one’s own risk, and any losses incurred are the responsibility of the individual. The Daily Hodl does not endorse the buying or selling of any cryptocurrencies or digital assets and is not a financial advisor.