Mike Novogratz: Exodus of miners from China will benefit the industry

Galaxy Digital founder Mike Novogratz called the exodus of miners from China a “major plus” for the cryptocurrency industry. In an interview with Bloomberg, he stated that the repressive policies of the PRC will not hinder Bitcoin’s development.

In Novogratz’s view, the May market crash merely proved the resilience of the digital asset ecosystem.

“There was a crash. But there was no intervention by the Plunge Protection Team. There were no lawsuits. The system worked as it should have. It is a very reliable system, built in a short period of time,” he said.

The head of Galaxy Digital again highlighted Bitcoin’s position as the digital version of gold. In his words, the precious metal has already 3,000 years — and in the next three millennia its role will be fulfilled by the first cryptocurrency.

Novogratz believes that, in the long term, Ethereum will remain the second-largest digital asset by market capitalization, or even, “one day, become the largest cryptocurrency.” He added that Vitalik Buterin’s project has strong competitors such as Terra and Solana, so its leadership is not guaranteed.

The billionaire also emphasized the diversity of blockchain projects. In his words, what is happening in the industry is “not a chase for coins with silly names, but a serious approach to rebuilding the global financial architecture.”

In his view, Bitcoin will never become a payment instrument, but will find use in investments and savings.

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