My1sttoday Finance: CZ Binance has lay off claim that crypto ain’t a ponzi scheme. This comes after Microsoft co-founder Bill Gates said he thinks cryptocurrencies and NFTs are “100% based on greater fool theory.
Gate statement come as bitcoin and other cryptocurrencies are dipping, the market is facing alot of bearish wave.
Bitcoin hit an all-time high (ATH) of $69,045 in November, 2021. Since then, the world’s most valuable cryptocurrency has lost more than seventy percent (70%) of its value, tumbling below $20,000 on Saturday. It has lost about 35% of its value since Monday.
This force one of the biggest Crypto exchange Coinbase to lay off 18% of its employees as the digital currency market continues to crumble.
CZ Binance took to Twitter to lay off the claims that said Cryptocurrency is a ponzi or a fool theory.
- Ponzi is when new money is used to pay off old money. It won’t last. Utility value is when a lot of people use it as a tool. #crypto is used for global fundraising, investments, x-border remittances, micro payments, DeFi, NFTs… by a few hundred million people.
- Utility value has staying power. Volatility is a function of market size. Smaller market cap asset are more volatile. It’s actually not the asset, it’s cause by mass psychology of the trading community. Stocks are equally volatile, if not more so, CZ added.
The bearish wave keeps getting stronger that we may see more dips in the coming days.