In 10 years, Bitcoin’s limited supply will be almost exhausted, meaning that holders may only need 0.01 BTC to get dirty rich.
Saving 0.01 Bitcoin (BTC) might only cost you $ 500 today, but given the current global distribution of wealth and the limited supply of digital wealth, 0.01 BTC could be enough to make you a millionaire in the future.
According to Credit Suisse’s Global Wealth Report 2020, there are 51.9 million people with net worth over $ 1 million. The index takes into account a person’s net worth, as well as their financial and real estate assets, while subtracting their debts and liabilities.
According to the report, the US leads with a relatively large margin of 20.2 million, or 39% of the global total margin. China came in second with 11% of the global total, and Japan and the United Kingdom, France and Germany each made up 5%.
It is interesting that these millionaires own 43% of the world’s wealth, despite only making up 1% of the world’s population (excluding children).
The total household wealth of these wealthy individuals is $ 400 trillion, with 53% represented by financial assets rather than real estate investments. This number varies between countries with 64% in the US, 44% in China and Germany, and 22% in India.
According to Credit Suisse’s individual asset allocation, 175,700 people were worth more than $ 50 million. Of these, 55,800 were worth at least $ 100 million and 4,410 were worth over $ 500 million.
The finite supply of Bitcoin will reach 98% in 10 years
Bitcoin supply and equivalent inflation. Source: Medium.com/@CryptoProfG
As of March 1, the total supply of Bitcoin will be 18.64 million BTC, so around 2.37 million will have to be mined. In ten years the supply will reach 20.6 million or 98% of the 21 million coins from the total supply.
With the exception of 1.9 million coins that have not been touched in over a decade, the 51.9 million millionaires around the world have a maximum limit of 19.2 million BTC.
That leaves 0.37 BTC per millionaire, including the coins still to be mined. A more conservative assumption based on the currently available supply and withdrawal of coins that have not been moved for five or more years results in 14.57 million BTC. That leaves just 0.28 BTC per millionaire, which is conservative as the number of wealthy people is likely to increase over the next 5 to 10 years.
In the future, the rich will fight for 0.01 BTC
In addition to certified millionaires, there are 590 million individuals whose net worth exceeds $ 100,000. These people should not be disregarded as potential owners, even if their purchasing power is lower.
Global wealth distribution. Source: Credit Suisse
Assuming the 43.4% global wealth share shown in the graph above remains the same, the global millionaires represent 6.32 million coins out of the conservative supply of 14.57 million. This ratio means that there is 0.12 BTC per person.
The remaining 590 million people, currently valued at $ 100,000 or more, could effectively hold another 5.9 million coins, adding up to just 0.01 BTC per adult.
In conclusion, buying 0.01 BTC today, an investment of around $ 500 at the current price, can secure a top position of 13%. That equates to a millionaire today, at least in terms of the percentage of the total Bitcoin supply.
The views and opinions expressed are those of the author only and do not necessarily reflect the views of Cointelegraph. Every investment and trading step is associated with risks. You should do your own research when making a decision.