Fund Managers Wager $ 1 Million Each For Bitcoin S2F Insolvency
Investment director cryptocurrency hedge fund Arcane Assets Eric Wall is willing to bet $ 1 million on Bitcoin’s Stock-to-Flow (S2F) prediction to 2025 of the year will not come true. This model assumes that already by 2022 cryptocurrency should be worth $ 288,000.
PlanB analyst who adapted the used on markets exchange goods model S2F to bitcoin, on November 11 wrote that he has no doubts that it is correct and by December 2021 the cryptocurrency will reach the range of $ 100,000 – 288,000.
Ari Paul, Investment Director of BlockTower Capital stated, what is he ready to offer a similar bet, but on more favorable conditions. “Bet a dollar to win three (up to six zeros added),” Paul wrote. – I can’t say about Eric’s logic, but for me cause offering this rate, without assessing the model’s accuracy at all, is a matter of simple arbitration. Buy BTC, open short position on S2F 3 to 1. Impossible to lose “.
Others in words, if the bet is successful, the organizers will receive by $ 1 million, and if bitcoin will continue driving according to S2F, then their cryptocurrency assets will grow many times over and pay off the bet. Floor, but, expressed confidence in Tom, that no one would agree to Wall’s proposal, not even if the size of the bet will be reduced before $ 100,000.
“I will not mind against losing in this case, “wrote Wall.