Bitcoin is evolving beyond a store of value to a major institutional currency, and could even dethrone traditional fiat currencies, said Max Keiser, host of the Keiser Report.

"The nation state is dissolving, thanks to bitcoin. The nation state, the units of politics as we know them, is all changing, because now we have a global unit of account, medium of exchange, store of value, where the trade is the settlement," Keiser told Kitco News.

Bitcoin's ultimate role will be to replace governments and banks as mediators of exchange as transactions can be settled between counterparties without interference, Keiser said.

He added that by the time bitcoin attains its status as a global unit of account, prices would likely have reached $100,000 a coin and volatility will subside.

Governments will not be able to regulate bitcoin, Keiser said, even if politicians have voiced their concern over bitcoin's role in replacing the dollar as the "hegemonic force in the world."

Related. A Brief History of Bitcoin

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This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.