Crypto Industry Focus on Cost-Cutting, Narrative to Ensure Long-Term Success: Novogratz

• Mike Novogratz, the founder of Galaxy Digital Holdings, argued that the events of 2022 have ‘cleansed’ the industry and that it is now time to survive the “transition period”.
• Novogratz warned that 2023 is a year to survive and that the outlook for crypto is not great due to regulatory headwinds.
• However, he suggested that, long term, “crypto is not going away” and that the prices of Bitcoin and Ethereum have held relatively steady.

Mike Novogratz, the founder of the US-based crypto financial services firm Galaxy Digital Holdings, recently spoke to CNBC about the future of digital currency. He argued that the events of 2022 have ‘cleansed’ the industry and that it is now time to survive the “transition period”.

Novogratz suggested that 2022 was a “grand washout” for the crypto industry, explaining that those who had a sell, they sold, and those who were leveraged, got out of the leverage. He warned that 2023 is a year to survive and that the outlook for crypto is not great due to regulatory headwinds.

However, he suggested that, long term, “crypto is not going away” and that the prices of Bitcoin and Ethereum have held relatively steady over the last couple of months and have gone up in the last few days. Novogratz noted that there are still “some overhangs – DCG, and Genesis, and Gemini – that will play out in the next quarter,” but that there is still room for optimism in the industry.

Novogratz went on to explain that the crypto industry must now focus on cutting costs and surviving this transition period. He suggested that those involved in the industry should focus on creating a narrative that inspires confidence and trust in digital currency and that investing in high-quality teams, products, and platforms is the best way to ensure the industry’s long-term success.

Overall, Novogratz argued that the future of the crypto industry is still bright, despite the challenges of the present. He suggested that those involved in the industry should focus on cutting costs, creating a positive narrative, and investing in high-quality teams, products, and platforms in order to ensure its long-term success.