In the interview, Hoffman discussed his personal experience with bitcoin, confirming that he has purchased “a few bitcoins” to date in addition to his investment in Xapo.
Hoffman also dismissed suggestions that he may be worried about the price of bitcoin given the volatility that this indicator has experienced so far in 2014.
He added:
“I don’t check [the price] every day. It’s more a question of a three- to five-year horizon, not a daily horizon.”
Despite this, Hoffman cautioned investors, echoing the familiar refrain that investors shouldn’t put any money into bitcoin directly unless they are “willing to lose the money”.
Platform for innovation
Hoffman further stressed that bitcoin’s true innovation will be its platform, which he called its “most interesting layer”.
Citing smart contracts as one such example of the innovation bitcoin entrepreneurs have yet to fully unlock, Hoffman said:
“You can have bitcoin stand for something that isn’t just a bitcoin. [...] It could mean your car. So then your car could be accounted for on a general ledger that is then – you know, can let you do electronic contracts. you could put liens against it, moving it all into the electronic age.”
For more on bitcoin and its potential applications in the field of smart property, read our report here.
Image via Wired
investorsReid HoffmanXapo
Original author: Pete Rizzo