In one of my recent articles, I shared my perspective on the current cryptocurrency market situation and its dynamics. To bring the discussion to the next level, I reached out to several experts in the crypto field for their comments on the current economic situation and an overview of the industry’s future.
One of the individuals I interviewed was Bitrue CEO Curis Wang, whom I met about a year ago; he was generous enough to answer my questions. Bitrue is one of the leading crypto exchanges globally, with the senior management team from Capital One. Bitrue exchange is known for its innovative approach and low trading fees.
Ivan Kv: What does the crypto market look like to you? Did the volume increase or decrease on the Bitrue exchange amid the COVID-19 pandemic? Do you believe that there will be a big upcoming global recession as a result of the virus? If so, how will it affect crypto?
Curis Wang: Despite the pandemic and the bitcoin halving, both of which I anticipated to affect us negatively, we actually saw trading volumes increase on our platform overall. Sentiment was down in March but recovered quickly, and it has continued growing as we reach the middle of 2020. Personally, I think a global recession is virtually guaranteed at this point in time. Most industries are globalized now and have supply chains involving numerous countries. I don’t see how they could possibly return to their former levels of economic output, when each country is in different stages of recovery and potentially have huge levels of unemployment. On the other hand, I think that the crypto industry will actually see growth during this time. More and more people are starting to see how the existing systems of finance are failing to serve them effectively, whereas the decentralized systems of cryptocurrencies are providing fair opportunities to all people. We’ve also seen a lot of coins having greater ROIs than traditional stocks or commodities markets, so I anticipate that we’ll be seeing more sophisticated investors shifting their focus toward these new investments.
Ivan Kv: We have been seeing a decrease in the crypto prices, which mirrored the moves of the stock market. Do you believe in Tim Draper ‘s theory that the Bitcoin price will hit $200,000+ by 2022?
Curis Wang: We definitely saw an impact on coin prices in March and April, as COVID dominated the headlines. Both Wall Street investors and crypto holders were anxious about the future, which led to both industries seeing price downturns. However, right now, we still see many high-net-worth individuals keeping hold of their crypto portfolios, and their belief in the value of this new industry is keeping the markets of the strongest cryptocurrencies healthy. It’s also indirectly supporting the altcoin markets; in particular, projects related to DeFi are getting a lot of attention and seeing growth. Obviously, not every coin is going to be a success, but in general, I am seeing a lot of good indicators that the market is growing, and I have a lot of faith in the industry. Personally, I believe that keeping a portion of your net worth in Bitcoin would be a wise hedging strategy right now, due to the oncoming recession and the economic effects that it is going to have. I’m not so sure about Bitcoin hitting $200,000 by 2022 like Mr. Draper mentioned. I’m sure the price will go up, but that number may be a little too high for such a short period of time.
Ivan Kv: Are there any new, cool features on Bitrue? What are your short-term and long-term goals?
Curis Wang: We’re just about to celebrate Bitrue’s 2nd birthday, which I think is a significant milestone for us. We’ve spent a lot of this time building up a solid foundation of features that make for a great trading experience, including on-ramps, trading tools, investment products, and so on. Investments, in particular, have been great from a community perspective, as these days it’s tough to find regular banks that will give you more than pocket change in return for depositing your funds with them. A couple of weeks ago, we actually became the first exchange to establish and publicize an insurance wallet, which will be used to cover user funds in the event of loss. Users can check the wallet at any time to verify that the funds are really there, which gives them a great sense of security. Now that we’re satisfied with our solid infrastructure and we have a strong community of dedicated supporters, we are ready to move things on to the 2nd stage. Our vision has always been to be the leader in the new world of digital finance and to use the advantages of technology to disrupt the old world of finance. In the short term, we will provide more financial services to crypto holders that go beyond trading, and in the long term, we want to bring more people into the fintech ecosystem – not just consumers, but also businesses both large and small who will find great value in instant value transfers and diversified financial products.