Terra and FTX collapse showed that the crypto industry has not fully established: CoinsPaid CEO
CoinsPaid’s CEO believes that the Terra and FTX crashes showed that the crypto industry hasn’t fully established.
Max Krupyshev says he believes crypto is the new internet, but the adoption rate might be slower.
Transparency will be a big thing in the crypto industry this year.
The crypto industry has not fully established
Max Krupyshev, the CEO of CoinsPaid, revealed in a recent interview, that he doesn’t think the cryptocurrency industry has fully established.
According to Krupyshev, the crashes of FTX and Terra indicated that the market has not been established to the level most people thought. He added that the rally experienced in 2020 and 2021 could mostly be attributed to the pandemic and the negative interest rates put in place by central banks around the world. He said;
“And I think one of the reasons why crypto got a lot of the money pumped into the ecosystem was the negative interest rates, that people just didn’t want to put money into the bonds or whatever. They didn’t want to put money just in the bank, because during the inflation and negative interest rates, doesn’t really work. You don’t really, you don’t really get anything extra, you just see how your $100 becoming less of the of the buying power, when the same amount of dollars. And people always try to sort of multiply money slightly. So crypto looked like a potentially good opportunity for investment. And then when the ball started rolling, like a snowball it start to get more and more attention.”
Krupyshev added that with the interest rates now going higher, it is understandable that money is leaving the cryptocurrency market.
Crypto is the new internet
Krupyshev believes that cryptocurrency is the new internet. And similar to the internet, the adoption of cryptocurrencies will be slow. He stated that;
“Exactly. It took many years, right really for the Internet to sort of get into homes. Right? So I mean, what I see right now, like in the Crypto Space and the I didn’t know that the industry now has so many names. It’s Web3, its Blockchain, Crypto Space, right. It’s, it’s for me, it’s hard to switch.”
Following the collapse of FTX, Krupyshev said transparency would be a big thing in the cryptocurrency space moving forward. Since FTX’s collapse, several cryptocurrency exchanges, including Binance, have published their proof of reserve.
The CoinsPaid CEO added that transparency would be a big thing in the industry this year. He concluded that;
“I think this would be a lot about the transparency for the cryptocurrency companies, right? Any centralized platform now will have to be proving to the people to the community to the ones that they sort of know what they doing, right? Because, I mean, I think still, a lot of people will not understand what does it mean, right? I mean, most likely, and new users who are here for maybe quick money, and so on.”
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