During a live panel at the Web Summit in Lisbon, Changpeng Zhao (colloquially called CZ), CEO of Binance, shared his point of view on why it is so important for cryptocurrency projects to continue their development amidst the bear market. According to CZ:
“It’s easier to hire talent in a bear market. A year ago, a college graduate who knew a little Solidity programming cost a lot of money. Salaries didn’t make much sense, but now they’re down to very reasonable levels.”
“Now it’s easy to hire people and grow,” he said, noting the decline in project valuations: “A year ago, each project with a test product or six-page white papers was worth $100 million. Today, the valuation is very reasonable.”
The executive explained that a combination of lower labor costs and less expensive projects has made it an ideal environment for the acquisition and consolidation of companies. “For example, a year ago, everyone wanted to sell a non-fungible token, but now only the strongest projects do it, so the selection is really much better.”
As for a possible end to the bear market itself, CZ noted that cryptocurrency market cycles typically last four years, with one year of falling prices, then two years of recovery, and a final year of rising prices. Binance executive and blockchain space personality too he reiterated that he believed in the long-term potential of cryptocurrencies: “We are very long-term investors. So we anticipate being involved in the space for the next 10, 50, 100 years.”
A brief history of “#bitcoin crashed”…
2014, #bitcoin crashed to $200
2018, #bitcoin crashed to $3,000
2022, #bitcoin crashed to $20,000
2026, #bitcoin “crashed” to … no idea.Crypto is high-risk and highly volatile. Learn to manage your risks.
— CZ Binance (@cz_binance) November 2, 2022
CZ also cited emerging signs of a shift in the market: “Right now, there are exponentially more people who trust cryptocurrencies rather than not trust them. Also, the sector has grown tremendously in recent years.” . But he also warned of the danger of using historical evidence to make future judgments, saying: “So we’re about a year into this bear market, but I can’t predict the future because, at the end of the day, history doesn’t predict the future.” “.
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