One trillion dollars vaporized to nothing? Down payments and Bachelorette dads’ savings lost to the wind? Sounds terrible. But not to crypto celeb and Binance CEO Changpeng “CZ” Zhao! According to the man at the helm of the world’s largest crypto exchange by volume, the devastating crypto bear market is ultimately good — “healthy,” even — for the market.
“Price corrections are actually good,” the crypto exec said at this week’s Mainnet Conference, as spotted by Decrypt, emphasizing that the market is still “early” — effectively arguing that crashes and value losses are basically just industry growing pains.
The Binance bigwig certainly isn’t alone in his thinking. While some crypto investors have sworn off the assets completely, others, Changpeng included, have expressed their undying faith in the embattled industry. You have to break a few eggs to make an omelet, right?
“Crypto is so early,” he reportedly said, adding that investors, who he encouraged to “ride out the winter,” should measure crypto’s worth not by value, but by the amount of people who buy, use, and trade it. “We’re not in a saturated market.”
To that point, though: that’s the exact thinking that led a lot of people to financial devastation in the first place. Sure, compared to traditional assets, the cryptosphere is still in its relative infancy. But the idea that blind faith is just part of the deal — an ideology that crypto exchange FTX went as far as to push in a Super Bowl ad — has already done untold billions in damages to smalltime, low information investors. The “Crypto is Just a Baby” argument feels a bit unconvincing in light of the very real damage it’s caused, especially from a dude at the top of a company that swallowed a whole lot of investor funds.
READ MORE: Binance CEO: Bitcoin Bear Market Is ‘Healthy’ for Crypto Industry Long Term [Decrypt]