2016 was a banner year for the world's favorite digital currency, Bitcoin, which realized a 120% return since January 1st. However, in addition to positive developments in overall adoption and relevance, Bitcoin has emerged as a special kind of money - not only are humans prone to fantasize about money in general, but more and more people have realized that there is something unmistakably sexy about this money in particular. You can call it an accounting affair, a currency crush, or even an unfiat infatuation. Whatever term you choose, the evidence is startling: people don't just want bitcoin, they love it.
So what do we know about love? That's a tricky topic. Maybe love is wonderful and magical - and maybe it is blind and dangerous. But two things are certain about love: 1) It looks different from the outside than the inside, and 2) It is powerful.
When a person falls in love they can commonly feel misunderstood. Their friends or family might criticize the relationship. "What do you see in that person?" they might ask. Sometimes it's hard for the head-over-heels to explain their feelings. Maybe there is a rational explanation, but more often than not, the connection is deeper and more subconscious. A good match might not make sense from the outside, but from the inside, there is a subtle but complimentary fit. Like a lock and key, true love is more about filling each other's gaps than being the best at everything.
So it is with Bitcoin and its growing fan base. If Venezuelan Bolivars and Indian Rupees are the abusive boyfriends of the monetary dating scene, then Bitcoin is the Mr. Right who treats you with respect and rubs your feet at night. Bitcoin lovers understand this quality very well. It's not that Mr. Bitcoin can't lose his job, get injured, or fall prey to unfortunate circumstances, it's that he will never let you down. He'll never cheat on you, or lie to you, and always puts you first. He isn't jealous or manipulative, but open, honest, and reliable.
Whether you are a die-hard bitcoin lover or a bewildered uncle who thinks his nephew has lost his mind, take a moment to recognize that Bitcoin is a little different. It's not just interesting, it's intoxicating, for better or worse!
So how is Bitcoin going to be worth $1 trillion? Easily and handily. Perhaps 10 million people will love bitcoin enough to hold $100,000 worth. Perhaps 100 million people will love bitcoin enough to hold $10,000 worth. Or perhaps 1 billion people will love bitcoin enough to hold $1,000 worth. There are many plausible ways.
Why by 2027? It will likely take an inflation rate of less than 1% (this will take place after 2 more reward halvings in ~8 years) for the network to sustain Bitcoin miner selling pressure at a $1 trillion valuation ($10B per year). So let's call it 10 years for good measure.
As we head into 2017, protect your hearts, and may you all find the relationships you deserve.