Bitcoin to Hit $1 Million by 2028? Expert Predicts Capital Control Impact

Arthur Hayes, co-founder and CIO of Maelstrom, predicts Bitcoin will reach $1 million by 2028 due to impending US capital controls. Hayes's “Boiling Frog Theory” posits a gradual imposition of financial restrictions on foreign investors in the US, a response to growing economic imbalances and reliance on foreign capital. He argues that tariffs are ineffective, as countries will simply find workarounds. Instead, he suggests a 2% annual tax on foreign-held US assets as a politically viable solution. This tax, he believes, could eliminate federal income taxes for the bottom 90% of Americans. If foreign capital leaves, Hayes anticipates increased money printing by the US, leading to the devaluation of US treasuries. This devaluation, he argues, will drive global capital into alternative, stateless assets like Bitcoin, which he views as the ideal “lifeboat.” Hayes points to the Trump administration's seemingly pro-Bitcoin stance, including the removal of gold tariffs and crypto regulatory de-escalation, as further evidence. He forecasts that even a 10% migration of foreign-held US assets into Bitcoin would cause a massive price surge due to Bitcoin's inelastic supply and long-term holders' reluctance to sell. Hayes acknowledges potential volatility but maintains that the trajectory towards capital controls is clear, ultimately benefiting Bitcoin. His firm, Maelstrom, has taken a long position in Bitcoin and is now investing in “quality altcoins.” This prediction is based on the assumption that the current economic trajectory continues and that the US government implements the capital controls discussed.

(Source: https://www.newsbtc.com/bitcoin-news/bitcoin-1-million-2028-capital-controls/)