Bitwise chief investment officer Matt Hougan says Bitcoin’s total addressable market could surpass the roughly $34 trillion gold market if Bitcoin becomes widely used both as a currency and as a store of value. Hougan pointed to recent events around Iran—where proposals to accept crypto for Strait of Hormuz tolls highlighted Bitcoin’s “currency-like” use—as evidence that Bitcoin can play roles beyond competing with gold.
“In a world where countries have weaponized their financial rails, Bitcoin is emerging as an apolitical alternative,” Hougan said, adding that this expands Bitcoin’s potential market beyond gold alone. He has previously estimated that if Bitcoin captures about 17% of the store-of-value market over the next decade, the price could reach $1 million per coin; taking on an international currency role would likely push that target higher.
Bitcoin is trading near $74,500 with a market capitalization around $1.4 trillion, while gold trades near $4,854 an ounce with an estimated market cap above $33.7 trillion. Hougan noted that Bitcoin already functions as a store of value in high-inflation countries—Citizens in Argentina, Turkey and Venezuela have turned to Bitcoin to protect wealth amid persistent inflation and currency instability. A Coinbase survey found strong interest in crypto among Argentinians, many viewing it as a path to greater financial independence and a hedge against inflation.
Corporate adoption has also grown: private and public companies tracked by BitBo collectively hold more than 1.5 million Bitcoin, worth over $116 billion. On the payments front, research cited by Springer Nature identified roughly 11,000 merchants worldwide that accept Bitcoin, showing growing use as a medium of exchange in addition to a store of value.
Hougan summarized the implication: if Bitcoin takes on a dual role—both gold-like store of value and dollar-like currency—previous price and market targets may need to be revised upward.