Billionaire and veteran investor, Mike Novogratz shares his stance and outlook on cryptocurrency in the coming years.
Despite his investment company, Galaxy Digital’s loss of $136 million throughout 2018 due to crypto’s ongoing bearish market, Novogratz still has faith in crypto, saying, “I fundamentally think you’re going to see big adaption in 2019, 2020.”
Although, he admitted that the current outlook of the crypto market is not promising when he said, “It’s been a horrible bear market in tokens. There’s plenty of reason to be depressed.”
He pointed several crucial events that might have bolstered the downturn of the cryptocurrency, such as the Securities and Exchanges Commission (SEC)’s rejections towards Bitcoin ETF as well as their “stricter actions” against few fraudulent ICOs.
According to him, these has somehow introduced uncertainty to the market, which led to the most recent selloff.
“Part of the sell-off is because, I think, the SEC got tough on a few fraudulent ICOs. And not just were tough on them — they mentioned personal investors can go for reparations in most cases. And people got very nervous,” he said in a conference call with Ethereum World News.
However, the former Goldman Sachs’ partner is convinced that moving forward, the relationship between the SEC and cryptocurrency will get better, which he claimed as “a driving force for new growth” that will pave the regulatory path for larger investors seeking to join the crypto market.
Moreover, he also believes that the integration of blockchain in the e-gaming space cryptocurrency would be one of the things that will “save” cryptocurrency’s fate in the future.
Quoting what he said, “Lots of the items in the digital world, the e-gaming space, are low value items so I think people will be more comfortable participating in blockchain. We’re making big investments in that area.”