Decentralized Data Storage Altcoin with Potential 1,700% Growth Amid AI Economy Boom: Arthur Hayes Insights
BitMEX Co-Founder Arthur Hayes Bullish on Decentralized Data Storage Crypto Project Amid Rising Demand for Censorship-Resistant AI Infrastructure
Arthur Hayes: Decentralized Data Storage Altcoin FIL Could See 1,730% Growth in AI-Driven Economy
BitMEX co-founder Arthur Hayes highlights the growing demand for decentralized AI infrastructure, emphasizing the need for compute power and cloud storage in the AI sector.
Hayes suggests that the decentralized file storage network Filecoin (FIL) is essential for the expanding AI economy and could potentially experience a substantial 1,730% increase from its current level if its price-to-capacity ratio recovers. This ratio is determined by dividing the asset's price by its storage capacity.
He elaborates, stating that investing after price multiples have corrected is a prudent strategy. If the price/capacity ratio were to rebound just 25% to reach $4.86 per exbibyte (EiB) from its April 2021 level, FIL's price could surge to $59.29, nearly 17 times its current value.
As of now, FIL is valued at $3.24, having declined by 98.6% from its all-time high of $236.24 in April 2021. Hayes notes that the price-to-capacity ratio for Filecoin has also plummeted, dropping from $19.45 per EiB in April 2021 to the current $0.27 per EiB, a decline of about 99%.
Furthermore, Hayes' bullish stance on Filecoin is influenced by the expectation that central banks will be compelled to implement more accommodative monetary policies, potentially leading to a "fiat liquidity boom."
With AI adoption entering a rapid growth phase, Hayes believes that substantial funds from various sources will flow into AI-related ventures as free capital becomes abundant, ranging from politicians and hedge funds to venture capital investors in the tech sector.
Oct 07, 2023