• The total value of bitcoin transfers has now surpassed $15.8 trillion

  • The statistic of the “total amount of coins transmitted on-chain” is equivalent to 70% of the US GDP.

    For the first time in fewer than seven months of this year, Bitcoin, the world’s most valued cryptocurrency, saw its total transfer volume exceed $15.8 trillion.

    This indicates that bitcoin’s entire transfer volume currently accounts for 70% of the US Gross Domestic Product (GDP), which is around $22 trillion.

    Furthermore, bitcoin transfer volume has already surpassed the whole GDP of the world’s largest economy, which was $15 trillion in 2010 and $15.5 trillion in 2011.

    Indeed, the number of bitcoin transfers will shortly surpass the US Gross Domestic Product for 2012 and 2013, which was estimated to be around $16 trillion.

    One of the main causes for the long-term growth in bitcoin transfer volume is the significant increase in bitcoin price. When bitcoin’s price was at $64,000 in April, the total volume of bitcoin transfers reached $2.99 trillion.

    Interestingly, while the bitcoin price dropped more than 50% from its all-time high in April, the volume of bitcoin transfers did not. Bitcoin is still settling $236 million in transactions every day, which is about the same as it was in December when it was trading in the $20,000 range.

    This indicates that, despite massive price fluctuation, investors continue to be interested in bitcoin, confirming that the most valued cryptocurrency is a viable alternative to the present economic system.

    Why Is Bitcoin Transfer Volume Exceeding the GDP of the United States?

    Bitcoin is not only proving to be a viable financial option, but it is also proving to be a viable alternative to the dollar and the entire economic system.

    Bitcoin transfer volume reached $15.8 trillion in less than seven months in 2021, thanks to an increase in institutional interest and a strong rise in retail investments.

    Furthermore, the strategy of US firms retaining bitcoin on their balance sheets to offset the impact of inflationary fiat money and growing consumer costs increased bitcoin transfer volume.

    The fact that bitcoin is gaining legitimacy across the financial system, a development that will boost its transfer volume in the days ahead, adds to its fundamentals.

    Bitcoin is only now making inroads into the financial and economic systems.

    If the current rate of value transfer continues, Bitcoin will surpass the entire GDP of the world’s greatest economy in the next five months. At the same time, the Securities and Exchange Commission has eight Bitcoin Exchange Traded Funds filings pending, seven of which were filed this year. Several Bitcoin ETFs are already listed on the Toronto Stock Exchange, including Purpose, Evolve, and CI Galaxy.

    SEC Commissioner Hester Peirce stated, “The complications of not granting [a Bitcoin ETF application] become stronger because people are looking for other methods to do the same types of things that they would do with an exchange-traded product.”

    “Bitcoin is now completely decentralized. The number of nodes active in Bitcoin is vast, and the number of people who want to maintain the work decentralized is even larger,” she explained.

    Furthermore, politicians in the United States, such as Mayor Scott Conger, believe that Bitcoin is the ultimate hedge against fiat currency inflation. After a 450 percent increase in one year, the Federal Reserve has stopped recording the increase in the M1 and M2 money supply.

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