Even as the price of bitcoin has skyrocketed to around $1,200 a couple of years ago then down to $230 these days, Panterra Capital CEO Dan Morehead views bitcoin as a “buy and hold” investment. He has closed the firm’s macro investment funds and opened a bitcoin-only fund back in 2013.
“The value of bitcoin, if successful, is much greater than the downside risk,” said Morehead. “It seems to be an asymmetric opportunity.”
Bitcoin Investment Outlook
He likened the development of digital currencies to the internet, which took a while to gain traction and benefit from improved infrastructure. “The Internet at that time had all of the protocols it needed to be really cool, but you couldn’t do anything because you had a modem screaming at 2,400 bits per second,” Morehead explained. “The Internet really sucked. Bitcoin is kind of like that right now. It has all the need attributes but just not all of the applications to make it useful.”
Back when Panterra Capital invested in bitcoin two years ago, it had limited options for trading. “Most of the bitcoins we purchased, we purchased directly via telephone conversations,” Morehead narrated. “We also do a lot of exchange-based trading, and we prefer