“Bitcoin bull” and founder of Galaxy Digital, Mike Novogratz, talked about how cryptocurrencies paved the way in the pandemic year. Speaking in a Real Vision interview, the dollar billionaire investor explained two epidemic-induced developments that accelerated the “cryptocurrency revolution”.
Stating that after 5 years, 2020 will be viewed as “terrible” due to the coronavirus, Novogratz said, “We will see 2020 as a bad time when many people lost their lives … But we will be talking that this is a blessing for the cryptocurrency revolution.”
Galaxy Digital CEO said that two pandemic-induced phenomena led Bitcoin and Ethereum to earn 216 percent and 390 percent annual returns, respectively.
“There is no better scenario to buy bitcoins”
Stating that the first of these was the US government’s intervention in the global pandemic, the successful investor said, “The FED lowered interest rates, gave 1.5 trillion dollars credit to banks and financial institutions, and accelerated the purchase of treasury bonds to stabilize the economy. Frankly, I don’t see a better macro scenario to buy Bitcoin when I look at the current situation, ”he said.
Stating that the second trend that drives crypto currencies is the digitalization of life in every sense, Novogratz said, “Zoom is now an important part of our lives. “Adjusting to the digital life made investors feel more comfortable about owning a digital wallet.”
Apart from Novogratz, it was seen that many investors who did not look positively towards cryptocurrencies in the past have also shifted to this side. The number of investors and businessmen who think that the crypto boom in 2020 is due to macroeconomic developments has increased day by day.
For example, Bernstein Research’s portfolio strategy manager, Inigo Fraser-Jenkins, who was skeptical of cryptocurrencies in the past, wrote to his customers earlier this month that the pandemic has completely changed the policy environment, debt levels and portfolio diversification options, and that Bitcoin is now a much more attractive investment tool. .
The threat of monetary expansion and inflation made many institutions and individuals switch to Bitcoin, especially in the last 6 months.