NYDIG could hit $25 billion in bitcoin under management by the end of 2021, says founder

Bitcoin • February 3, 2021, 2:16PM EST
UPDATED: February 3, 2021, 2:20PM EST
The Block

Ross Stevens, founder and chairman of the New York Digital Investment Group (NYDIG), predicted that the firm could significantly expand the amount of bitcoin it holds under management before the end of 2021.

His comments came during an appearance at the MicroStrategy World 2021 Conference, stating that while the NYDIG currently has $6 billion in bitcoin assets under management (AMU), this figure could hit $25 billion by the end of the year. 

"I believe that the most important decision that CEOs will make in the next ten years will be deciding to allocate to bitcoin," Stevens said in a conversation with MicroStrategy CEO Michael Saylor that kicked off this year's conference. 

Stevens claimed NYDIG has seen zero clients walk back their initial investment to date. 

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"My partners bought more bitcoin in 2020 than in 2013-2019 combined. As our fiat businesses continue to inflate and accelerate, I expect we will buy more bitcoin in the next two years," he said. "We are capital allocators. If we didn't believe we would make money off this, we wouldn't invest a penny."

During a recent appearance on The Scoop podcast, NYDIG CEO Robert Gutmann commented that public companies could follow in the footsteps of firms like Square and MicroStrategy by allocating some of their balance sheets to bitcoin.

In Gutmann's view, these companies have a "fiduciary duty to consider whether holding 100% of your assets in dollars is in the best interest of your shareholders."

Listen to Gutmann's podcast appearance here:

About Author

Saniya More (pronounced: Saan-ya Mo-ray) is a quadrilingual journalist at The Block. She got her master’s degree from the Columbia University Graduate School of Journalism and did her undergraduate degree at the S.I. Newhouse School of Public Communications, Syracuse University. Her work has appeared in CBS News, Bangkok Post, Thai Enquirer, Globalists, Byline Times and other publications. When she’s not chasing a story, you will most likely find her biking, tweeting, taking photos or creating Spotify playlists for every occasion.