In a daring and contentious assertion, Caitlin Long has asserted that 99% of the crypto business must be eradicated to lower leverage buildup and enhance the business’s future development.
Industry Overhaul Demanded For Sustainability
Caitlin Long, Founder and CEO of Custodia Bank, a crypto asset banking firm, has referred to as for a seismic change within the crypto business and its practices. The CEO emphatically urged that only one% of the crypto business must be allowed to function whereas 99% of the business must be destroyed and nearly all of crypto corporations within the business “flushed out.”
In a heated interview with Bezinga, Long was adamant about her controversial views of the crypto business, stating that the business had monumental potential however was being set again considerably by crypto corporations working utilizing extremely leveraged buying and selling actions.
Long said that she had an energetic dialogue with a distinguished particular person who shared her views and supported the notion that almost all of the business must be purged for it to thrive.
“I had a debate with a prominent person. I said, ‘Look, 90% of this industry still needs to go away, and he said it’s 99%, and I think that’s right. I mean whether it’s 90% or 99%, you see the point, there’s still a bunch of crap that needs to be flushed out,” Long mentioned.
Total market cap nonetheless holding above $1.03 trillion | Source: Crypto Total Market Cap on Tradingview.com
Long Compares Crypto Industry To 1999 Tech Stock Bubble
Caitlin Long has likened the present crypto business to the tech inventory bubble in 1999. Notably, the tech inventory bubble which coincided with the expansion of web adoption, rose 800% in investments, attracting traders from outstanding corporations all around the world. After reaching its peak, the inventory market crashed by 740%, leaving nearly all of traders and corporations bankrupt and shut down.
Long compares this inventory market crash to the crypto market crash in 2022 which noticed Bitcoin falling by about 70% and main altcoins by 80% to 90%, ensuing within the chapter of main corporations and traders.
She additionally said that the crypto business wouldn’t succeed if it continues to amplify buying and selling actions by means of leverage whereas permitting unregulated exchanges to function.
“It is in some ways a repeat of the tech stock bubble of 1999, just so much crap. And it will not succeed, and it needs to be flushed, but markets are flushing it,” Long said.
Long urged {that a} lack of correct rules on crypto exchanges is exacerbating the dangers and challenges within the crypto area. Additionally, she revealed that she was in help of the US Securities and Exchange Commission’s (SEC) latest crackdown on crypto exchanges within the business.
Nevertheless, the CEO has not proposed a complete annihilation of the crypto business, only a main portion of it. When requested about her views on the Bitcoin cryptocurrency, Long said, “I don’t really care about the price. It is the least interesting aspect of this technology. I’m more interested in it as a technology.”
Featured picture from CNBC, chart from Tradingview.com