Billionaire Mike Novogratz, CEO of Galaxy Digital, once invested heavily in terra (LUNA) and even got a tattoo of the collapsed crypto project. The well-known bitcoin (BTC) fan was recently highly critical of FTX’s collapse in an interview with CNBC.
He calls the crypto exchange an organization that was led by criminals, but says that not every crypto exchange is headed by criminals.
“It’s really dangerous to think if you have one black swan, you’re going to see them everywhere. I’m not saying every exchange is playing by every single rule,” says @novogratz on @FTX_Official. “I don’t think under every rock there’s a guy trying to steal your money.” pic.twitter.com/zyyzB2P7Nc
— Squawk Box (@SquawkCNBC) December 15, 2022
CNBC interview about FTX
In the interview, Novogratz says that it is a smart idea for many investors to sell occasionally and take a profit. According to the billionaire, that is the best way to hedge yourself and be prepared for a lot of volatility. Furthermore, according to Novogratz, it is not a good thing to label everyone in the industry as a criminal now.
“It is dangerous to think with one black swan that you suddenly see them everywhere. That all of a sudden there are criminal organizations run by sociopaths all over the industry. That’s just not the case. I am not saying that every other fair follows the rules properly, right?”
Incidentally, Novogratz himself is not the most reliable voice in the industry. He has been calling for years that bitcoin is going to huge amounts and has had a tattoo of LUNA put on his arm. He will now regret the latter.
Don’t worry about crypto
It seems that Novogratz’s message is mainly that the crypto market has nothing to worry about. The market will have taken a disappointing turn for many participants this year, but that doesn’t mean you’ll find criminals under every stone you turn within the industry.
In any case, we will never be bothered by FTX ec-CEO Sam Bankman-Fried again. He was handcuffed in the Bahamas last week and is likely to face a huge punishment in the United States, since he no longer wants to contest the extradition.