Crypto Needs Entrepreneurs, Not ETFs; Binance CEO Says
Chanpeng Zhao, CEO of Binance is a man committed to developing not only his platform but the entire ecosystem. In addition to working actively to achieve this goal, CZ has been confident that cryptocurrencies can conquer a good part of the financial market on their own merit.
In a livestream via Periscope, CZ spoke to more than 100k viewers about several themes related to the world of cryptocurrencies. However, one of the most interesting moments was when he addressed investors and traders who tend to overestimate the importance of a Bitcoin ETF.
CZ shares the opinion of several maximalists and enthusiasts who claim that Bitcoin does not need traditional financial instruments to grow. The man in front of Binance mentioned that he does not believe that Bitcoin ETFs “are core to our industry’s growth.”
Mr. Zhao said that to see substantial growth in the cryptomarkets, the ecosystem does not need speculation but a stimulus to the industry. Despite going through a series of strong bearish episodes, Bitcoin has been able to re-emerge generally due to the wave of industrial developments and applications that have been achieved during these periods. Therein lies the key to growth, according to CZ. Crypto needs more real projects that stimulate the use and adoption of blockchain technologies and digital currencies:
“I think for our industry to grow we need more entrepreneurs to build real projects.”
The price of a cryptocurrency is important for the development of its ecosystem since it allows the financing of tasks related to research, development, and promotion of this technology, however, it cannot be said that it is a life-or-death factor. In fact, several developers and important personalities in the crypto-verse have commented that price tracking is a distraction for those in charge of developing these important projects that CZ talks about.
As reported by Ethereum World News , Stacy Herbert, a well-known investor, and host of the Keiser Report program shared with Max Keiser her impressions of the actions that have led Bitcoin to beat the Bearish periods to reach record figures in prices and adoption.
Ms. Herbert explained that an ETF was not needed to overcome falls of up to 94%. It was enough with the commitment of the developers and businessmen for the crypto-money market to triumph from each “tragedy”:
A replacement to that [SWIFT] begins the end of the US Dollar hegemony. Bitcoin also emerged in 2009, and that is starting to take over and get bigger despite de price crash… The prices are down … But in terms of where Bitcoin is going, you and I have been involved with this space since 2011, we’ve seen it crash 94% in 2011, and it crashed something like 88 to 91% in 2013, 2014, 2015… So we’ve seen a few of these crashes, but what I do know from experience … In the past, during these previous crashes, a lot of building took place during that time, robust companies were built. They were no longer distracted, engineers are not distracted by price increases of 10, 20 or 30% a week”