Bitcoin and crypto here to stay despite market turmoil: Community

Published at: Nov. 9, 2022

Despite crypto markets being on a downturn, members of the community have expressed their undying faith that Bitcoin (BTC) and crypto are here to stay. 

Even with the FTX and Alameda Research debacle highlighting issues within the crypto market, a community member urged others not to be stressed. The Twitter user argued that the crisis was only a black swan event that only FTX CEO Sam Bankman-Fried (SBF), Binance CEO Changpeng Zhao and a few others could have seen coming. The community member believes that despite this, crypto is still here to stay.

While the current state of the market left people feeling burned out, some remain hopeful and reaffirm their love for crypto. A community member tweeted:

F..k the dump & all the fud. I love #Crypto. It is here to stay.

— $SHIB KNIGHT (@army_shiba) November 9, 2022

Meanwhile, crypto analyst Michaël van de Poppe also shared his thoughts on the crypto market’s trajectory. According to Van de Poppe, things will be better moving forward. Citing Mt. Gox, Luna and FTX, the analyst highlighted that errors have to be made in order to improve the system. “It might feel like we're on the edge of collapsing crypto entirely, but Bitcoin and crypto are here to stay,” he wrote. 

Related: FTX-Binance standoff highlights the need for clear rules — Sen. Lummis

With fears of a contagion plaguing the crypto market because of the recent FTX and Alameda debacle, executives from prominent crypto firms have assured their users that have no exposure to the troubled firms. Tether chief technology officer Paolo Ardoino, Circle CEO Jeremy Allaire and Coinbase exchange CEO Brian Armstrong all took to Twitter to dispel any FUD that are surfacing amid the FTX crisis.

On Nov. 8, Binance and FTX announced that the firms will perform a strategic transaction that aims to help FTX with what Zhao described as a “significant liquidity crunch.” The Binance CEO also expressed the company’s intent to fully acquire FTX and help cover the liquidity issues.

Tags
Bitcoin
Cryptocurrency Exchange
Community
Binance
Ftx
Related Posts
CEO of biggest crypto exchange has ‘close to 100%’ of net worth in crypto
Changpeng Zhao, founder and CEO of the largest global cryptocurrency exchange Binance and one of the world’s top crypto billionaires, does not own much except crypto. “I’m one of those guys who value liquidity much more than owning something. I actually prefer not to own anything,” Zhao said in a Bloomberg interview on Wednesday. He noted that various cryptocurrencies like Bitcoin (BTC) now make up nearly 100% of his entire net worth as he does not own any real estate or much fiat holdings. When asked how much of his net worth is invested in crypto, Zhao said: “I would …
Bitcoin / April 7, 2021
Binance CEO shares 'two big lessons' after FTX's liquidity crunch
Binance CEO Changpeng “CZ” Zhao has shared his take on "two big lessons" to be learned from the FTX saga, saying cryptocurrency firms shouldn’t use their own tokens as collateral and should also keep “large reserves.” In a Nov. 8 tweet, Zhao laid out two learnings after the significant “liquidity crunch” at FTX which has ultimately resulted in a non-binding letter of intent from Binance to acquire the struggling exchange. Two big lessons: 1: Never use a token you created as collateral. 2: Don’t borrow if you run a crypto business. Don't use capital "efficiently". Have a large reserve. Binance …
Bitcoin / Nov. 9, 2022
Binance shares wallet addresses and activity after proof of reserve pledge
In light of the FTX liquidity crisis and the almost-acquisition by Binance, Binance CEO Changpeng “CZ” Zhao assured his community that his network would provide full transparency on asset holdings. On Nov. 10, Binance published a new page titled “Proof of Assets” on which all details are available of its on-chain activity for its hot and cold wallet addresses. This comes only two days after the initial tweet from CZ on Nov. 8, in which he pledged to create a proof of reserve mechanism to ensure “full transparency” to the community. Binance released an official statement on the new page, …
Bitcoin / Nov. 10, 2022
Binance publishes official Merkle Tree-based proof-of-reserves
Two weeks after Binance initially pledged to develop a proof-of-reserve (PoR) mechanism in response to the FTX liquidity and bankruptcy fiasco, it published its official response. In an announcement on the Binance website, the exchange outlined how users can use the mechanism to verify its holdings. Currently, the only token available to verify through the Merkle Tree-based system is Bitcoin (BTC), though the announcement says additional coins will be added in the coming weeks. It also highlighted upcoming transparency updates which include the involvement of third-party auditors to audit its PoR results and implementation of ZK-SNARKs in its PoR methods, …
Blockchain / Nov. 25, 2022
Bitcoin leverage ramps up as BTC's margin long-to-shorts ratio hits a record $2.5B high
Crypto traders' urge to create leverage positions with Bitcoin (BTC) appears irresistible to many people, but it's impossible to know if these traders are extreme risk-takers or savvy market makers hedging their positions. The need to maintain hedges holds even if traders rely on leverage merely to reduce their counterparty exposure by maintaining a collateral deposit and the bulk of their position on cold wallets. Not all leverage is reckless Regardless of the reason for traders' use of leverage, currently there is a highly unusual imbalance in margin lending markets that favors BTC longs betting on a price increase. Despite …
Bitcoin / March 2, 2023