Research Head At Global Fundstrate Tom Lee: Bitcoin Is Better Than Dollars To Prevent Crime

Bitcoin, the largest digital asset by market cap. (Photo; Doc. Pexels)

JAKARTA - Thomas 'Tom' Lee, Head of Research at Fundstrate Global Advisors, said that Bitcoin (BTC) is better than the US dollar in preventing financial-related crimes. Lee, known as a Bitcoin supporter, denies claims that these crypto assets are often used for illegal activities such as money laundering and terrorism.

Lee expressed his opinion on the CNBC Squawk Box, which aired on Tuesday, February 15, 2024. He challenged the arguments frequently leveled by US government officials, including Senator Elizabeth Warren, who considered Bitcoin a tool for criminals.

Lee said that actually the US dollar is more widely used for illegal activities than Bitcoin. He cites data from Chainalysis, a blockchain analytics firm, which shows that only about 0.34% of Bitcoin transactions are linked to crime in 2021.

Lee also emphasized his confidence in blockchain technology, which is the basis of Bitcoin and other crypto assets. He said he prefers the Proof-of-Work (PoW) concept, which relies on competing computers to validate transactions and create new blocks, rather than a centralized database system managed by a group of people.

According to Lee, blockchain technology has an advantage in terms of decentralization, transparency and security. He added that Bitcoin transactions can be tracked and traced, so they are not suitable for criminals who do not want to leave their tracks.

Lee also highlighted positive developments in the Bitcoin sector, such as the launch of Bitcoin ETF spot products in the US in January 2024. These products allow investors to have direct exposure to the price of Bitcoin, without having to buy or store these crypto assets.

Lee also mentioned several big names who have recognized the potential of Bitcoin, such as BlackRock CEO Larry Fink, who called Bitcoin an outstanding global asset in November 2021, and MicroStrategy Chairman Michael Saylor, who said his company would continue to buy Bitcoin forever.

Lee said that the validation of these institutions shows that Bitcoin has become a legitimate and attractive asset for investors. He estimates that the price of Bitcoin will reach 100.000 (IDR 1.56 billion) by the end of 2024.