Following the collapse of FTX which has negatively impacted the crypto industry, American Billionaire Entrepreneur Mark Cuban believes that crypto still has a lot of value.
Cuban, who has endorsed crypto investments, investing heavily in several projects and firms in the industry, disclosed that people should not be discouraged by the FTX collapse, rather they should ignore the noise and look at the big picture.
In a recent interview, he said “Separate the signal from the noise. “There’s been a lot of people making a lot of mistakes, but it doesn’t change the underlying value.”
Tekedia Mini-MBA edition 14 (June 3 – Sept 2, 2024) begins registrations; get massive discounts with early registration here.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
He further stated that, as long as investors have viable options in the crypto world, he doesn’t foresee virtual assets going into oblivion.
Mark Cuban is one of those billionaires who believe that investing in crypto is a good investment idea, unlike some other billionaires like Warren Buffet and Bill gates who feel otherwise.
Cuban has in the past specifically listed Bitcoin and Ethereum as potential coins for crypto traders to invest in. He owns some crypto assets and has made investments in several blockchain companies.
Despite his endorsement of crypto investment, Cuban believes that the amount of money one should use to buy virtual currencies should be limited, i.e traders should invest the money that they can afford to lose.
Following his advice on the FTX collapse, several other crypto investors share the same opinion with him, as they disclosed that the FTX collapse is not a crypto failure but a scammer taking advantage of investors and the lack of regulation.
On the other hand, the FTX collapse has plummeted the prices of crypto assets to an all-time low, which has reduced investors’ confidence in the industry. The crypto market was already in an awful state even before the FTX collapse.
The crypto exchange platform collapse further fueled volatility, as there have been big volatility results in the prices of tokens, meanwhile a big number of traders are taking advantage of it.
On the other hand, so many retail investors have withdrawn their assets, while institutional investors linked to FTX and its sister company Alameda Research are still determining their losses from their exposure to Sam Bankman-Fried’s empire.
In the Bahamas, following the collapse of FTX which was headquartered in the small island country, Bahamians are still trying to find a way to make sense of the recent upheaval.
Reports reveal that the sudden collapse of the crypto exchange platform has left a trail of unemployment in the country.