Bitcoin ‘Long Way’ from Becoming Reserve Currency, Analyst Predicts

During a recent CNBC interview, Eric Golden, Canopy Capital founder and CEO, stated that Bitcoin, the leading cryptocurrency by market cap, was “a long way” from becoming the world’s reserve currency.

“We are a long, long way from seeing that happen,” he told the hosts of CNBC’s “Squawk Box” earlier this Tuesday.

That said, Golden is convinced that crypto is “a really fascinating” vehicle that makes sense in people’s portfolios.

The importance of stablecoins

Golden, who previously had a stint at Fidelity Investments, claims that he has been “obsessed” with stablecoins since his time at Fidelity.

“Now, I think, you see how powerful stablecoins are,” Golden said.

In March, Reuters reported that Fidelity was mulling launching its own stablecoin.

Golden is hopeful that the GENIUS Act, which aims to regulate stablecoins, will be voted on in Congress later this week. The legislation will “lay the foundation” for more regulated stablecoins.

He added that he would not be surprised if more players end up entering the space in the near future,e given that stablecoins will be critical for payments and financial infrastructure.

The SEC’s crypto-friendly U-turn

Golden recalled that he started his company during the era of former SEC Chair Gary Gensler. This, he recalls, made it extremely challenging to get the company launched.

Following the departure of SEC Chair Gensler, the agency quickly started to abandon its aggressive crypto polices, pivoting to an explictly crypto-frienldy approach.