by Cameron, Spencer & Nikola
At the Buccaneers vs. Bears game on October 24, 2021. Buccaneers quarterback Tom Brady threw his 600th touchdown to wide receiver Mike Evans. Unaware of the significance of this pass, Evans handed the ball to a fan in the front row of the end zone. This proved to be a major mistake, which was corrected by Buccaneer staff and Brady. Besides the significance to Brady, the ball is estimated to be worth around $500,000. In exchange for the ball, Tom Brady gave the fan two signed jerseys, a signed helmet, a signed Evans jersey plus his game cleats, a $1,000 store credit at the Buccaneers team store, season tickets for two years, and on top of that, a Bitcoin.
Bitcoin is a decentralized digital currency that you can buy, sell, and trade, without an intermediary like a bank. The reason it is worth money is because we, as people, decide it’s value, similar to gold. Since it’s supply is limited to 21 million coins, and 18.8m have already been mined as of August 2021 (~90%), this creates a supply and demand issue. Given this lack of supply, many people expect it’s price to continue to grow as time goes on, especially as more big investors begin treating it as a digital gold to hedge against market volatility and inflation.
One Bitcoin is currently worth around $75,000 CAD, but that number could increase significantly. Over the past year, Bitcoin has increased by 200%, and since 6 years ago, a whopping 17,000%. Over the next 5 years, experts believe that Bitcoin will be worth around $320,000 CAD, roughly quadruple its current value. By 2030, a single coin is estimated to be worth $6,750,000.
Although Bitcoin has the potential to be worth an astronomical amount, it could also crash. It’s known to be a very volatile investment that has a track record of a lot of boom and bust cycles. As an example, between April and July, Bitcoin corrected more than 60%, and over the course of its 11-year existence, the coin has had 7 corrections greater than 50%. The repeated history of these negative turns prove that Bitcoin can make a turn for the worse at any time.
We asked Noah Yan which option he he would take in 10 years and he said “100% a Bitcoin. Although the football will probably be worth north of $1 million, I believe that because of the previous progress of bitcoin, it’s on track to be worth much more than the football.”
Although the risk of Bitcoin is high and the volatility surrounding it will be great, we believe that it will be worth more than Tom Brady’s 600th touchdown ball because of its successful past, and the predictions for the currency in the future.