Betting on sports is not only done for games, but also for market caps. The speaker thinks that betting on new, well thought out Web3 crypto projects that rebuild payment infrastructure in a decentralized way will be more beneficial than sticking with Visa and Mastercard.
The rise in interest rates highlights the problem of over leveraging in the cryptocurrency market, which can lead to investors getting margin-called and wiped out. When there are negative real interest rates, investors tend to push the envelope, and the crypto space works as a liquidity sponge that can be easily affected by these situations.
SEC Chair Gary Gensler has put crypto firms on notice, stating that unregistered securities are on "fragile ground," which means crypto firms could face disclosures and other investor protections. Gensler has already taken action against Genesis, Gemini, and Kraken for violations like staking or leaving digital assets in an exchange to receive payouts.
Sean Puri discusses his interest in investing in Bitcoin, including a tweet where he claimed to put 20% of his net worth into it, and how the volatile market has affected his portfolio.
Market manipulation claims are causing concern for investors and may be delaying the approval of ETFs for Bitcoin due to insufficient volume to support the price. This is also raising questions about portfolio construction.
Despite not skyrocketing during the COVID crisis, crypto has proven to be resilient by not collapsing either, with the holder base increasing as a true wealth protection mechanism for many, showing its worth during uncertain times.