Crypto Needs Adult Supervision to ‘Grow Up’, Says MicroStrategy Co-Founder
Crypto Needs ‘Adult Supervision’ To Grow Up
• Michael Saylor, the co-founder of MicroStrategy, believes that the bankruptcies of high-profile crypto players are “painful” but helpful for the industry to grow.
• He stated that the crypto meltdown was necessary in order for the industry to mature and that it needs greater regulation from entities like Goldman Sachs and Morgan Stanley as well as input from Congress and the SEC.
• In response to Charlie Munger’s criticism on cryptocurrency, Saylor said that Munger should take time to study Bitcoin.
The Necessity of Crypto Bankruptcies
High-profile crypto bankruptcies and a hearty price crash are necessary evils to help the industry grow, according to Michael Saylor, co-founder of MicroStrategy. In an interview with CNBC’s Squawk on the Street he said: “The crypto meltdown was painful in the short term, but it’s necessary over the long term for the industry to grow up.” He also added that while there are good ideas in this space, some have been implemented in an irresponsible fashion.
Industry Oversight is Needed
In order for cryptocurrency to become more mainstream and accepted by traditional financial markets, Saylor believes that “adult supervision” is needed from entities such as Goldman Sachs and BlackRock along with clear guidelines from Congress and rules of conduct from The United States Securities & Exchange Commission (SEC). By providing a framework for digital assets this would allow for money to move into modern times more effectively.
Saylor Responds To Munger’s Criticism
Charlie Munger recently shared his negative views on cryptocurrency calling it “gambling” which prompted Saylor to reply by saying that Munger should take time out of his day to study Bitcoin properly before forming an opinion on it.
It is evident that greater regulation is essential in order for cryptocurrency projects to succeed in becoming more widely accepted by traditional financial institutions. It will also be interesting how U.S regulators decide to approach cryptocurrency moving forward as well as how they attempt tackle issues such as money laundering or market manipulation with these new digital asset frameworks they plan on introducing soon.