Major Crypto Bull Mike Novogratz Believes Facebook’s Global Crypto Coin Won’t Rival Bitcoin
- Mike Novogratz of Galaxy Digital recently appeared on “Squawk Box” on CNBC.
- He discussed the crypto winter and the lack of competition between Bitcoin and social media coins.
Mike Novogratz is a well-known supporter of crypto and the bull market, running Galaxy Digital as the CEO. With his broad view of the crypto market, he recently was featured as a guest on CNBC’s “Squawk Box,” allowing him to discuss how the crypto winter is finally ending. However, the discussion took a turn to another important subject in the market today – Bitcoin versus Facebook Coin.
The CEO explained that Bitcoin has been working to prove itself as a store of value in the economy. While there have been many different versions of the crypto asset to arise, which are commonly called altcoins, none of them have had the same value as Bitcoin. As Novogratz put it, Bitcoin “won that lane,” referring to being categorized as a store of value.
The host, Andrew Ross Sorkin, asked Novogratz about the investors that are presently interested in Bitcoin, to which he replied that institutions are starting to infiltrate the market in a positive way. He pointed the attention to the recent crypto endowment bestowed upon Yale, the Stanford endowment, and Fidelity’s progress.
Sorkin suggested that there are people who have been burned by Bitcoin, asking when these people would be willing to buy in again. However, Novogratz does not believe that this is a worry amongst investors. He explained that there are many institutions that never took the leap, giving them a false sense of confidence when the market fell. However, the industry is evolving to provide more protection and less volatility, making the institutional sector to feel more secure.
He added that the retail investors tend to “come and go.” Even though there are plenty of investors that won’t end up back with Bitcoin, “there’s seven and a half billion people on the planet,” he said, implying that there’s still plenty of investors that will enter the market from the retail side.
With all of the secrecy and rumors of a Facebook Coin to enter the market, the topic inevitably arose in the conversation between Sorkin and Novogratz. The coin’s launch is planned for the beginning of 2020, which Novogratz called “wildly important” for the whole ecosystem. However, since Bitcoin is a store of value, and the Facebook Coin is meant to be a payment coin, he does not see much competition between the two. At this point, Bitcoin's price is standing at $8,073.60, jumping by over 3% in the last 24 hours.
To watch the entire interview between Novogratz and Sorkin,watch now: