The world of crypto is no stranger to bold (and sometimes unwise) bets. Remember Balaji Srinivasan's infamous prediction that Bitcoin would hit $1 million in just 90 days? He folded his hand after a mere 45.

Now, Bitcoin maximalist Peter McCormack is making headlines for a new wager with Michael Green, a financial strategist Bitcoin reaching $100,000 by year-end. While the bet isn't finalized yet due to escrow issues, the potential outcomes are intriguing.

McCormack, at 5-1 odds, stands to lose $100,000 if Bitcoin fails to break $100,000 by December 31st. However, Green may not be as exposed as it seems. Financial instruments like futures, options, and even ETFs allow him to hedge the bet, essentially ensuring a profit regardless of Bitcoin's price movement.

Ben Hunt from Epsilon Theory suggests Green might intentionally lose the bet to secure a larger profit through hedging. Green himself hints at this, calling the bet a chance to expose the bad math skills of it's just math proponents and potentially profiting from McCormack's speculative gains.

McCormack, however, maintains it's a lighthearted shits and giggles wager, claiming Green misses the point.

While Bitcoin reaching $100,000 isn't impossible, it's crucial to remember

• Crypto bets aren't like simple gambling Financial instruments allow for complex strategies like hedging, potentially negating the gamble aspect.
• Confidence shouldn't equal recklessness Making bets, especially with significant sums, should be done with a clear head, not fueled by impulsive decisions.

The story remains unfinished as an escrow agent isn't confirmed. Regardless, it serves as a reminder of the complexities involved in crypto bets and the importance of understanding the full picture before diving in.