Michael Saylor points to the silver lining post FTX crash

The American Billionaire is one of the most famous personalities in the industry.
Saylor is the co-founder of Microstrategy and is a Bitcoin whale.
He believes the crypto industry could benefit greatly from the FTX debacle.

While the industry is coming to terms with the collapse of the third largest cryptocurrency exchange FTX, Bitcoin whale Michael Saylor might have pointed out the silver lining to all this.

FTX crashed after discrepancies were exposed in the holdings of its native tokens. Several investors have lost their funds and faith in crypto exchanges.

Saylor resigned as the CEO of Microstrategy in August this year and is presently serving as the executive chairman of the company. He holds 17,732 BTC. Microstrategy offers business intelligence software services.

In an interview with CNBC, Saylor claimed that the FTX fallout will give a fillip to the industry in terms of regulatory clarity and would weed out tokens which would not be able to comply with regulatory requirements. He said that Bitcoiners like him “are trapped in a dysfunctional relationship with crypto.”

More regulations and transparency would spur adoption, which is something the industry is struggling with. Cryptocurrency is still largely perceived as a highly volatile and fundamentally useless asset. Several countries are experimenting with their versions of central bank digital currencies and are developing laws and frameworks for the conduct of crypto trade.

Saylor opined that FTX lacked transparency and Bitcoin is all about transparency. If a company holds crypto, it should not be anybody else’s liability.

“The regulatory intervention of late has been all negative like enforcement, but the marketplace is waiting for the regulators to say this is how you register a digital currency, this is how you register a digital security or a digital commodity, and instead of saying all the crypto exchanges should register, we need to get the crypto exchanges registered because the future of the industry is registered digital assets trading on regulated exchanges, where everyone has the investor protections they need and the investors, in general, understand the difference between Bitcoin and a stablecoin and a security token.”

“Bitcoin will be the winner because bitcoin is a digital commodity, and it’s the least controversial of everything.” Saylor believes that the next step in the industry’s evolution is the participation of the bigger players in the Bitcoin ecosystem.

However, he cautioned that the intensity of regulatory intervention would determine whether regulations are helpful to investors or make it difficult for all:

“I think it’s definitely going to strengthen the hand of the regulators. It’s going to accelerate their intervention. There’s a regressive regulation, which is to say, you can’t really do anything, and that’ll contract the industry. Bitcoin will be the winner because Bitcoin is a digital commodity and it’s the least controversial of everything.”

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing