Bitcoin Bull Anthony Pompliano: Crypto Confidence Game Over
Anthony Pompliano, a longtime Bitcoin (BTC) advocate and entrepreneur, asserts that crypto industry participants are underestimating the extent of the harm caused by the collapse of FTX and linked organizations.
Pompliano informs his 1.6 million Twitter followers that after the FTX scandal, institutional investors see the whole cryptocurrency business as polluted.
“Based on my conversations over the last 24 hours, people are drastically underestimating how much damage has been done this week to institutional interest in both Bitcoin and the broader crypto ecosystem.
Bitcoin will not only survive, but it will thrive in the coming years in my opinion.
But we shouldn’t ignore the fact that this week was a set back for everyone, regardless of what corner of the industry you play in.“
According to Pompliano, investors have lost faith in cryptocurrencies, and “the largest capital pools in the world know the industry isn’t ready for showtime.”
However, Pompliano emphasises that the loss of investor confidence in the larger crypto ecosystem will attract more watchers to Bitcoin, attracted by its simplicity and sturdiness.
“When the confidence game is over for the crypto industry, the market comes back to Bitcoin.
There is nowhere else to flee. There is no bank run on Bitcoin. In times of chaos and uncertainty, people want confidence and security.”
In addition, he believes that the bankruptcy of notable crypto businesses, such as FTX and digital asset hedge fund Three Arrows Capital, would move attention away from price speculation and toward Bitcoin’s long-term network potential.
“There are Bitcoin maximalists being born every minute right now. There are newly converted self-custody users popping up left and right. People are no longer asking ‘How high can X go,’ but instead asking ‘How confident am I that Bitcoin will last for Y years?’
This is a natural part of the cycle. In our darkest moment, Bitcoin steps to the forefront. It provides the solution. It solves the confidence crisis. Block after block of transactions. The digital payment network continues to provide a long-term oriented savings technology that affords anyone in the world the opportunity to protect their purchasing power over decades.”
