CNBC Analyst: Bitcoin is an 'Attractive Investment' and Can 'Ease the Global Financial System'

CNBC, a widely acknowledged leader in global financial media, has backed one investor’s view that Bitcoin is an “attractive investment” and could “ease the global financial system.”

Michael Preiss: Bitcoin Can Be the 'Alternative' the World Needs

CNBC quoted Michael Preiss, executive director of Taurus Wealth Advisors, who is very bullish on the future of Bitcoin.

Preiss told CNBC’s Capital Connection:

“Just last week, Bitcoin’s market cap surpassed that of Deutsche Bank, so that just goes to show you that the world and things are changing to some extent.”

Deutsche Bank’s market value fell to $39 billion last week, while bitcoin’s value had surged to $41 billion before its price fell 20 percent on Saturday.

However, despite bitcoin’s price volatility last week, both Preiss and CNBC appear to be spending more time on the virtual currency.

He believes:

“Governments are facing potential long-term debt repayment problems, and the world is suffering from so much debt. Maybe the world needs an alternative - in a sense, Bitcoin is an asset-backed currency with a limited supply.”

CNBC’s Bitcoin Schizophrenia is in Active Phase

CNBC struck a rather sarcastic tone towards Bitcoin during its show last week, citing Business Insider CEO Henry Blodget, who told the host that Bitcoin has “no intrinsic value.”

He said:

“Bitcoin is the perfect asset for a speculative bubble. Limited supply, no intrinsic value, and if anyone wants to convince you that Bitcoin should be pegged to GDP or gold in some way, ignore them and walk away.”

Prior to this, CNBC also described Bitcoin as the “new gold”, which shows a fundamental lack of understanding of Bitcoin’s true value and use cases, which goes deeper than simply the spot price and related short selling activity.

Regarding this topic, Preiss said:

“The question I often get is: Is Bitcoin a currency? That’s probably too limiting. Bitcoin is much more than a currency. It’s actually a token. It’s distributed trust and distributed consensus.

Mainstream media drives Bitcoin adoption

This U-turn in sentiment towards Bitcoin isn’t limited to CNBC. Business Insider ran a full interview in April with Snapchat investor Jeremy Liew and Blockchain CEO Peter Smith, both of whom predicted Bitcoin would hit $500,000 by 2030.

Mainstream media attention is considered to be one of the main factors affecting Bitcoin's user absorption.

With the term “Bitcoin” entering the top five Google searches last week, responsible reporting on the value of Bitcoin may be more important than ever.