Bitcoin Becomes the World’s Eleventh Largest Monetary System

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Bitcoin is now the eleventh largest money supply in the world, as pointed out by Twitter user Rhythm Trader. Bitcoin, with a market capitalization of $208 billion, is only marginally behind Russia and India and has overtaken many powerful nations such as Canada, Australia, and South Korea.



Gold is still leading the way as the world’s single largest form of money with a net capitalization of over $8 trillion. Japan, China, the Eurozone nations, and the United States take up the next four slots. Silver, another precious metal, is sixth on the list, with an estimated valuation of around $800 billion. The United Kingdom, Switzerland, India, and Russia complete the top ten list, with Bitcoin trailing at the eleventh position.

Bitcoin: The Transition from 2016 to 2019.

Bitcoin’s demand and credibility has grown exponentially over the past decade, allowing its monetary base to become greater than that of South Korea. Leaving out the market capitalization of gold and silver, Japan leads the line with a monetary base of approximately $5 trillion.



According to another Twitter user, Bitcoin first made its mark as a monetary base in December 2016, occupying the thirty-first position on the list, with a market cap of $20 billion. The capitalization of Bitcoin increased to $220 billion in December 2017 where it recorded its highest capitalization since its inception. However, it dropped down to $70 billion the following year and jumped back to $190 billion in June of this year.

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Data from another chart revealed that gold’s money supply peaked during the years 2011-2012, with the supply steadily rising after 2018. Bitcoin, on the other hand, is designed to be limited in supply, with up to an eventual 21 million by the year 2140. The base money growth over the past twelve months sees Bitcoin with a per-unit growth percentage of three percent. This is greater than the global production rate of the United States of America, Australia, China, and the Eurozone nations.

Bitcoin: The Dominant Form of Money?

A study conducted by technical analyst Willy Woo showed that a direct correlation exists between Bitcoin’s general popularity and its market valuation. Low search volume preceded significant pullbacks while a higher search volume is accompanied by large upswings.

According to Chief analyst at research firm Fundstrat Global Advisors, Thomas Lee, Bitcoin will enter a new bull market and reach $40,000 in the next few months. If the prediction comes true, Bitcoin will most likely overtake Russia in terms of market cap.

With Bitcoin’s value gaining ground by the day, do you think that it will enter the top ten list before the end of 2019? Let us know your thoughts in the comments below.

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Rahul Nambiampurath is an India-based Digital Marketer who got attracted to Bitcoin and the blockchain in 2014. Ever since, he's been an active member of the community. He has a Masters degree in Finance. <a href="mailto:editorinchief@beincrypto.com">Email me!</a>

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