The billionaire crypto giant commented on the rollercoaster of hype from investors over bitcoin prices, along with other industry trends.
In an interview with Bloomberg, crypto bull Mike Novogratz gave his take on the hype around bitcoin prices. He said investors get, “too excited,” like with the latest bitcoin plunge. Yesterday the crypto market crashed when bitcoin hit a low of around $42,800.
In his view, investors over-picked the market. An eight-week run encouraged investors from all niches of the crypto industry, though ultimately led to the drop. Despite remarking on hype-happy investors, Novogratz stands firm behind bitcoin as a long-term store of value.
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London (CNN Business)El Salvador’s “Bitcoin Day” did not go especially well. The impoverished country’s vaunted adoption of bitcoin as legal tender on Tuesday was marred by street protests, technical glitches, and an extreme drop in the value of the controversial digital currency. What went wrong?
- “Chivo Wallet,” a storage app created by the government, wasn’t immediately available on major app stores. By the end of the day, it had appeared on Apple and Huawei platforms.
- Hundreds of people marched against bitcoin in various protests across the capital city, the Financial Times reported.
- The price of bitcoin started the day around $53,000 before plunging by as much as 19%, according to data from Coinbase. The digital currency has since recovered some losses to trade near $46,270.
President Nayib Bukele, a right-wing populist who is the driving force behind the bitcoin initiative, took the dramatic price drop in his stride. “Buying the dip,” he quipped on Twitter. He also joined online crypto supporters in praising major companies such as McDonald’s (MCD) for accepting bitcoin as payment.
Supporters have argued that adopting bitcoin as legal tender will help Salvadorans avoid costly fees on remittances from abroad, which totaled nearly $6 billion last year — around a quarter of GDP. Enter your email to receive CNN’s nightcap newsletter.
We read all day so you don’t have to. Get our nightly newsletter for all the top business stories you need to know. Sign Me UpBy subscribing you agree to our privacy policy. Bukele may succeed in ironing out the initial technical glitches, but the biggest risks from bitcoin will persist long into the future.
Chinese investors pour $1 billion into BlackRock’s new fund
BlackRock’s new investment fund in China — the first owned entirely by a foreign firm — has attracted $1 billion from Chinese investors in its first week. The world’s largest asset manager said Wednesday that the fund — which has now raised 6.68 billion yuan — was officially established this week and has attracted more than 111,000 investors. It started offering investment products to individual Chinese investors late last month.” We are very proud of achieving this milestone for our China fund management business, and are grateful for investors’ overwhelming support,” said Rachel Lord, BlackRock’s chair and head of Asia Pacific.