David Rubenstein – an American billionaire and Co-Founder of The Carlyle Group – believes crypto’s decline is a normal event since all markets have been down recently. He believes that people won’t abandon the concept behind the asset type just because of recent adverse events.
Staying on Pro-Crypto Side
Bitcoin has suffered a severe price drop in the past few weeks. The asset was held at the $30,000 level by rising global inflation, ongoing military conflict between Russia, Ukraine, and the energy crises for almost a month.
Its USD valuation plummeted even further after Celsius, the crypto lender, stopped withdrawals, swaps and transfers between accounts. This caused panic in the sector. Moreover, the record-setting US inflation numbers and the Fed’s promise to hike the interest rates further affected the market as well.
Many experts had predicted a grim future for Bitcoin, but David Rubenstein, an American billionaire, isn’t one of them.
Recent research has shown that interview for Bloomberg, he argued that its price will continue to fluctuate, but the asset will not “disappear.” Moreover, Rubenstein noted its progress in the past decade, claiming that a USD valuation of over $20,000 is a significant achievement considering that some investors purchased it for less than a dollar years ago:
“So sure, if you’ve bought it at $60,000, you’ve lost a lot of money, and I’m not saying these are great investments, but I think these are investments that are not going to go away. I don’t think the whole crypto economy is going to collapse.”
The businessman also argued that crypto’s decline is not surprising since the global economy is currently not in its best condition and traditional financial markets are down, too. His belief is that people will trust blockchain technology and digital assets, regardless of the negative trend.
Genie is Out of the Bottle
Rubenstein, who is also a former US government official, was praised by bitcoin in April for its ability grant financial freedom to individuals.
“So I think many people like the fact that it’s private. You can’t really know how much somebody owns. They love to be able move money around the world. Having some cryptocurrency probably enables you to feel better that you can have something that’s outside of the government’s control, and it’s not dependent on the bank opening up its doors to you.”
He also opined that the cryptocurrency sector has developed to such a level that “the genie is out of the bottle,” and its progress would be hard to be ceased.
He admitted that he hadn’t distributed a portion of his wealth to digital assets. He has however invested in companies that belong to the industry.