Following the recent sharp falls in tech companies and crypto prices, rumors of a “crypto winter” are circulating. FTX CEO Sam Bankman-Fried told Business Insider, “I don’t think it’s really a winter. We’re still seeing a lot of activity in this space, and a lot of excitement.” He thinks Autumn would be a better description.
When it comes to excitement, Bankman-Fried knows what he’s talking about. Despite the apparent market slowdown, his FTX Exchange raised $400 million from major investment firms this month to hit a valuation of $32 billion. This indicates underlying confidence not apparent in the mainstream media coverage.
Though FTX has seen a slight reduction in trading activity, The 29-year-old CEO said “Volumes are not down a ton, and I think part of that is that things have been volatile as well.” The exchange has been prioritizing marketing and ran a commercial featuring comedian Larry David at the Super Bowl.
With the Federal stimulus ending, investors are moving away from the risky bets that they enabled and towards safer ones such as bank stocks and commodities. Bankman-Fried believes that “To the extent that Fed policy remains one of the core drivers of market movements… we’re going to continue to see that pretty strong correlation over the next, probably, months,”
The predictions of doom (https://99bitcoins.com/bitcoin-obituaries/)have been sounding out for almost as long as bitcoin has existed. Like Bankman-Fried, the still relatively small number of people who understand cryptocurrencies know that bitcoin is resilient.