Knut Svanholm was this week’s guest on the Relai Bitcoin Session. Knut is an outspoken Bitcoin advocate and author of numerous books about Bitcoin.
In this episode, Julian sat down with Knut to discuss his move to working in Bitcoin full-time and the global transition towards hyperbitcoinization.
You can watch the episode on YouTube.
Alternatively, you can tune in on AnchorFM.
Knut is most known for his books about Bitcoin and as a vocal advocate. On the podcast, he shares that he is currently in the process of transitioning out of his job as a crew manager at an offshore shipping company to take a year off from his life in Sweden to focus more on his work in Bitcoin. Knut is also convinced that it’s only a matter of time until we will see hyperbitcoinization.
While user adoption will continue to grow slowly, he believes that the price of bitcoin will experience a J-curve.
“If [Bitcoin] works, there is no endpoint to hyperbitcoinization. […] The thought experiment is even if you get all the people in the world on bitcoin, they will still use fiat currency. They just have a bitcoin wallet and use it for this and that but it will not be their main currency. But as time goes along and they figure out that this is much easier and much better to have – especially with the Lightning Network – they will start converting more and more of everything they own into bitcoin and there will be a huge demand bitcoin. This is where hyperbitcoinization happens.”
Knut also highlights the fact that bitcoin is becoming scarer because people will always lose some of their coins. While there are 21 million BTC in theory, the reality is that there are several million “lost coins,” making bitcoin even scarcer. In light of the growing demand for bitcoin, this will also play a role in pushing up the price in the years to come.
Speaking about Bitcoin’s tremendous upside price potential, Knut added:
“Alan Albert Bartlett, I think, said that the greatest shortcoming of the human race is our inability to understand the exponential function. And this is what’s happening in Bitcoin. It’s too weird and too good to be true for the human mind to comprehend.”