Bitcoin S2F Model Creator Reveals 4 Reasons Why He First Bought BTC

Bitcoin was the top choice of famous analyst PlanB thanks to its scarcity and zero likelihood of negative interest rates.

In a series of tweets on July 7, the creator of Bitcoin's stock-to-flow price model explained what drove him to buy the cryptocurrency.

His price model has undergone several incarnations, and currently predicts a Bitcoin price of $288,000 by 2024.

Stock-to-flow has tracked Bitcoin's metamorphosis with almost 100% accuracy.

Bitcoin's fixed supply, non-physical nature, decentralized structure, and "hard" money credentials continue to make it an investment choice for both large and small volume investors.

Since 2015, negative interest rates, in particular, have proliferated, with Bitcoin offering a safe haven from central bank taxes and the erosion of the value of cash savings.

Continuing, PlanB said that mainstream consumers were still unaware of Bitcoin's benefits as money.

"This $400B could be put in bitcoin and put to work to earn at least 6% interest, $24B/yr.

As Cointelegraph has often highlighted, Bitcoin rewards low time preference investors by not incentivizing spending or borrowing as quickly as possible.

As Saifedean Ammous summarized in his popular book, "The Bitcoin Standard," this form of "digital scarcity" is unprecedented in history, and allows Bitcoin to fill a niche that no other money has yet managed, including gold.