As significant crypto miners are exiting china one by one after the nation’s clampdown on Bitcoin, Mike Novogratz, CEO of Galaxy Digital, among other experts, sees this relocation from China as positive growth. Novogratz elaborated on Bloomberg that in spite of China’s endeavors to eradicate Bitcoin, efforts such as banning leverage, mining, or even all of Bitcoin in some regions, the virtual currency is still thriving.
He stated that Bitcoin tends to survive in numerous ways. He also added that miner’s move out of China could be viewed as a positive outcome for the environment. According to Novogratz, the previous two weeks where the cryptocurrency market went through a phase of high market volatility with unexpected price crashes overall, was a test for the cryptocurrency system as a whole, that too with positive outcomes.
Novogratz referred to the 65 percent drop in Bitcoin value from peak highs, stating that the “system” worked the way it was supposed to work. He referred to Bitcoin as a “robust” system, established within a short time period
When talking about the overall public opinion of the cryptocurrency environment, the CEO brought up Bitcoin implying that it successfully established itself as virtual gold. According to him, Bitcoin should become the digitized version of gold for the next three thousand years.
Novogratz stated that he considers Ethereum to most probably become the second biggest, if not the biggest virtual currency one day. According to him, it will be used at the fundamental level of trust. He also acknowledged the virtual currency’s competitors, i.e., Solana and Terra, noting that it is not a certain win for the second-most prominent cryptocurrency.
He also mentioned the more recent additions to the cryptocurrency environment, i.e., nonfungible tokens, and decentralized finance, noting them as a significant approach to reconstruct the world’s financial architecture.