The current crisis in the cryptocurrency industry will lead to its cleansing, and breakthrough projects launched during the bear market “will always succeed.” This opinion was expressed by billionaire Mark Cuban in an interview. Fortune.
He compared traditional stocks and the cryptocurrency market. According to the entrepreneur, the disappearance threatens companies that “kept on cheap, easy money, but had no real commercial prospects.”
“As he says [Уоррен] Buffett: “It’s only when the tide goes out that you can figure out who’s swimming naked,” Cuban said.
In May, the market was rocked by the collapse of Terra. The prices of the algorithmic stablecoin TerraUSD (UST) and LUNA began to fall amid an outflow of assets from the Anchor protocol due to a decrease in the rate of return on deposits to 17.87%.
On June 13, crypto lending platform Celsius suspended withdrawals, exchanges, and transfers between accounts “due to extreme market conditions.” However, analysts have suggested that the real reason is a “liquidity crisis”, due to which the company cannot make payments to customers.
The Celsius incident coincided with the collapse of the entire cryptocurrency market. The price of bitcoin fell below $23,000, Ethereum quotes failed the level of $1200.
Tron’s algorithmic stablecoin USDD and hedge fund Three Arrows Capital also started having problems.
Recall that in May, Cuban predicted the collapse of blockchain projects that copy what “everyone has”.
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