EMJ Capital’s Eric Jackson sees Bitcoin evolving from digital gold to neutral global collateral, implying a radical $50M per coin valuation by 2041.
Summary
- EMJ Capital’s Eric Jackson projects Bitcoin could reach $50M per coin by 2041.
- His thesis: Bitcoin shifts from “digital gold” to neutral global collateral for sovereign debt.
- He argues replacing the Eurodollar-based collateral layer would require Bitcoin’s value to rise by orders of magnitude.
EMJ Capital CEO Eric Jackson has projected that bitcoin could reach $50 million per coin by 2041, according to a recent interview, positioning the forecast among the most aggressive long-term price targets in the cryptocurrency sector.
Jackson’s projection centers on a thesis that BTC (BTC) will transition from functioning as “digital gold” into serving as the primary collateral layer underpinning the global financial system, according to statements made during the interview.
The CEO drew parallels to his investment approach with equities, citing his firm’s position in Carvana after the company’s share price declined sharply in 2022. Jackson stated that despite negative market sentiment at the time, the underlying business model remained sound, with customers reporting positive experiences with the platform.
Bitcoin could head to the moon
Jackson applied similar analytical frameworks to bitcoin, stating that short-term price movements and polarized market commentary often obscure the cryptocurrency’s structural potential. He noted that market participants range from critics who characterize bitcoin as a Ponzi scheme to supporters who project valuations disconnected from fundamental analysis.
The investment executive began his valuation framework with the commonly cited comparison to gold as a store of value. Jackson questioned whether bitcoin could match gold’s market capitalization, suggesting that its digital and programmable characteristics might appeal to younger demographics more than physical precious metals. He acknowledged, however, that bitcoin has not achieved widespread adoption as a medium for daily transactions since an early transaction in which the cryptocurrency was used to purchase pizza in 2011.
Jackson’s thesis extends beyond the store-of-value narrative to what he described as a “global collateral layer” that supports borrowing by sovereign nations and central banks. He traced the historical evolution of this base layer from gold to the Eurodollar system beginning in the 1960s, which remains closely tied to sovereign debt markets today.
In what Jackson termed “Vision 2041,” bitcoin would replace the Eurodollar system and function as a neutral asset upon which other balance sheets are constructed. According to Jackson, bitcoin offers advantages as collateral due to its digital nature and independence from central bank policies and political influence. He characterized this potential development not as a challenge to the U.S. dollar or Treasury securities, but as a new foundational layer for the international financial system.
Jackson projected that within 15 years, sovereign nations currently issuing and refinancing debt could instead utilize BTC as collateral. Given the scale of global sovereign debt markets, he argued that if bitcoin becomes the dominant collateral substrate, its price per coin would need to increase by multiple orders of magnitude from current levels to support such a role, resulting in his 2041 price target.
The projection represents a significant departure from current bitcoin valuations, which have fluctuated between approximately $15,000 and $69,000 over the past several years, according to market data.
