Banking crisis in the US has been an adrenaline rush for digital assets and has given the Bitcoin community incredible resilience. This was stated by Galaxy Digital CEO Mike Novogratz Mike Novogratz, The Block reports.
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According to the expert, the rally of digital gold underscored the case for its creation as a hedge against crisis in the US economy.
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“Satoshi Nakamoto was worried about the collapse of the financial system back in 2009 […]. Bitcoin is the first decentralized store of value. There is nothing in the United States better than a banking crisis, […] to remind us that our systems are fragile. We were in a debt bacchanalia, saturating ourselves with cheap money for many years, the expert explained.
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The comments came after the release of 2022 results, which showed Galaxy Digital‘s net loss of $1 billion, versus $1.7 billion profit in the previous year.
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Novogratz is confident in the continued macroeconomic tailwind. According to preliminary data, from January 1 to March 24, 2023 the company posted pre-tax income of $150 million.
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The Galaxy Digital CEO criticised the regulatory regime in the US industry, noting reduced uncertainty in other jurisdictions such as Hong Kong.
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“The Democrats felt foolish for being tied to [former head FTX] Sam Bankman-Fried — from the SEC to the CFTC and the Biden administration — and used this single example of horrific fraud and the fact that the guy in shorts and Bermudas fooled them, to simply say that all this is bad” — explained Novogratz.
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In March, Galaxy Digital CEO said that now is the best time to buy digital gold as a hedge against economic problems.
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One month earlier, Novogratz described the odds of the leading cryptocurrency to return to the $30,000 level as “good” by the end of March.