New Galaxy Digital CEO Mike Novogratz Forecast in Abu Dhab: Bitcoin’s a Safe Haven for Next Crisis
The CEO of Galaxy Digital and the former Goldman Sachs executive Mike Novogratz recently attended the MENA Summit 2019 in Abu Dhabi.
There, in a panel comprising of Todd Boehly of Eldridge Industries, Amanda Staveley of PCP Capital Partners, Joshua Harris of Apollo Global Management and moderated by Manus Cranny of Bloomberg, he said that Bitcoin’s worth will come to light during the next financial crisis.
“As Bitcoin is becoming digital gold, and really the only crypto that has value just because it does, it is the hedge against these Minsky moments – if the shit hits the fan and yields curve.
People say, ‘If the stock market goes down, that’s not going to make Bitcoin go up.’ But if we start having a real financial crisis, a breakdown in trust and government securities, then it’s going to skyrocket. Because it really is hard money. You could also buy gold, but it’s going to replace gold.”
He goes on to say that even traditional institutions are aware of this fact and are slowly adapting their infrastructure to support cryptocurrencies.
“And what we’re seeing with big institutions now, from Fidelity to the New York Stock Exchange, is the architecture for rich guys and rich institutions to safely store money in Bitcoin is being built. The two big custody solutions are going to be turned on in the next two months. They got delayed a little bit because the government shut down. And I would tell you by June of this year you’ll see institutions, Canadian pension funds and others, start accumulating small amounts of Bitcoin. To me, it seems like a no-brainer to have some portion of your portfolio on Bitcoin.”
Here, at BitcoinExchangeGuide, we have extensively covered the topic of Bitcoin’s performance during the next financial crisis.
Recently, the chairman of the U. S. Commodities Futures Trading Commission (CFTC), Christopher Giancarlo affirmed that the blockchain could have transformed the real-time response that the regulators had to the 2008 global financial crash.
According to Giancarlo, the blockchain, when used together with modern computers and their capacities, could have allowed the regulators to identify patterns and red flags faster and to avoid bank failure, which was more difficult to do back then.