Pantera Capital CEO Dan Morehead predicted at Ondo's conference that a "global arms race" for Bitcoin (BTC) could begin within three years as countries adopt new reserve strategies amid shifting geopolitical alliances.
What Happened: Sovereign Bitcoin Competition
Morehead told conference attendees he expects three or four regional blocs to each attempt acquiring 1 million Bitcoin within two or three years. "Countries like the United States are establishing strategic Bitcoin reserves," Morehead said. "Countries that are aligned with us like the UAE are acquiring cryptocurrencies, Bitcoin."
He argued the larger shift would come when adversarial blocs decide it's strategically reckless to warehouse national savings in assets seen as vulnerable to U.S. pressure.
"The big one though is… countries that are antagonistic to the United States will realize like China, super crazy to have a thousand years of your life savings stored in an asset that Scott Bessent can't cancel," Morehead said. "That is crazy. It's way smarter to buy Bitcoin."
The Pantera Capital chief executive called his sovereign competition thesis his "one very out of consensus view."
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Why It Matters: Long-term Structural Demand
Morehead maintained his bullish long-term outlook despite 2025 market weakness, which saw crypto fall 9% despite what he described as favorable policy conditions. He said the pattern fits crypto's established hype cycles rather than representing a broken narrative.
The Pantera chief pointed to the firm's projection that Bitcoin would reach $117,452 on Aug. 11, 2025, which he said occurred "literally that day."
He attributed recent demand to publicly listed ETFs and digital treasury companies that "collectively bought over a hundred billion of crypto."
Morehead argued monetary debasement at 3% annually makes fixed-supply assets structurally attractive, adding that "in 10 years from now, Bitcoin will massively outperform gold." He said institutional skepticism remains bullish because "the median holding for institutional investors is literally 0.0."
Bitcoin (BTC) plunged below $64,000 on Thursday during a brutal selloff that erased post-election gains. The cryptocurrency hit a session low of $63,149, down 5.55% over 24 hours.
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