Former hedge fund manager Mike Novogratz said institutional investors are seeing a cryptocurrency revolution coming.

The founder of full-service crypto merchant bank Galaxy Digital Holdings says he believes 8 out of 10 institutional investors will be invested in cryptocurrencies over the next five years. In a new interview with Finance Magnates, Novogratz says:

"Besides the fact that Bitcoin becomes a proxy for gold, there is a digital revolution underway and payments will change over time. There will be a “crypto dollar”, just like there will be a “crypto yuan” and a “crypto euro”… I think that each wallet will contain crypto…

Even the guys who are not there yet, they all realize that it is inevitable that we end up with a lot of cryptographic resources. It's a question of when. "

The widespread adoption of cryptography in the world of institutional investing can begin with a change in the US regulatory landscape.

In a separate interview on CNBC's The Exchange, Novogratz said that Jay Clayton's planned departure as president of the U.S. Securities and Exchange Commission (SEC) would be good for the crypto industry. Under Clayton's supervision, the SEC rejected proposals for a Bitcoin exchange-traded fund (ETF).

“As a crypto guy, we wanted someone to be a little more engaged, a little more active, a little more forward-looking, and so I hope you know, there are a lot of good people there. ”

The head of Galaxy Digital also says that the United States must act quickly, otherwise they will be left behind by other nations in terms of the adoption of cryptography.

“We are entering a digital era and we are still talking about neighborhoods compared to nickels. China has in fact proposed to Japan, Korea and Hong Kong to create a regional cryptocurrency which becomes their currency of exchange…

It is impossible for me to think that at some point we do not have stable coins or cryptographic versions of the dollar, a digital version of the dollar, which really become what we trade in. "

Novogratz says the threat of catching up will prompt the U.S. to adopt cryptocurrencies, but he doubts Bitcoin will replace the U.S. dollar. He expects the BTC to explode as soon as the Fed continues to pursue a policy of printing unlimited money.

As you continue to invest more and more dollars in the system, the value of the dollar may go down. The possibility of a devaluation of the dollar is higher… People use Bitcoin as a cover against this…

It will surprise me if we don't withdraw $ 10,000 soon and after that you will see $ 14,000 and $ 20,000. "