As China suppressed Bitcoin, major miners withdrew from China (Bitcoin), Mike Novogratz, CEO of Galaxy Digital, like other experts, sees moving out of China as a positive development.
Novograz Explanation On Bloomberg, despite China’s attempts to sabotage Bitcoin—such as banning mining, banning leverage, and even banning Bitcoin in some places—the original cryptocurrency still exists and works. “Bitcoin still exists and survives in many ways,” he said, adding that the move of miners out of China could be “a major net benefit to the ecosystem.”
In the past few weeks, the crypto market has experienced high volatility Sudden price collapse According to Novogratz, overall, this is a very successful test of the entire crypto ecosystem.
“We had a crash,” Novogratz concluded, referring to a 65% drop in the price of Bitcoin from an all-time high, adding:
“We don’t have a crash protection team. We don’t have litigation. The system works the way it should. This is a very powerful system that was built in a very short period of time.”
When talking about the public’s perception of the crypto ecosystem, Novogratz listed Bitcoin as “opening its own way” as digital gold. He reminded that gold has existed for 3000 years and added: “I expect Bitcoin will become the digital version of gold in the next 3000 years.”
Novogratz stated that he believes that “Ethereum is likely to become the second or even the largest cryptocurrency one day.” He concluded that it will be used for the basic trust level, “Web 3.0 is something built on top of it. He pointed out that it has strong competitors like Terra and Solana, which is not a definite victory for Ethereum.
Before reaching a conclusion, Novogratz also listed the latest members of the crypto ecosystem, such as decentralized finance and non-fungible tokens:
“This is not our bet on coins with interesting names. This is a serious way to rebuild the world’s financial architecture.”