Kim Dotcom said Crypto Needs a Major Crash to Become Mainstream
Kim Dotcom said that a “major collapse” would promote the adoption of cryptocurrencies as regular currency.
Kim Dotcom, an Internet entrepreneur, said that a “great collapse” would assist mainstream cryptocurrencies as a daily means of trade, as opposed to fostering speculative behaviour.
After a sudden sell-off, cryptocurrency markets fell sharply on Friday as he spoke. Bitcoin (BTC) fell around 4% to $21,130, its lowest level in more than three weeks. Ethereum (ETH), the second-largest digital currency in the world, decreased by 9%, or $168, to $1,640.
Kim, a self-proclaimed ‘Internet freedom activist,’ said on Twitter, “The massive drop is necessary for crypto to reach mainstream with use rather than speculation.” When you are liberated from oppressors, freedom has the decentralised capacity to grow.
Bitcoin just surpassed $25,000 for the first time since its mid-June lows of $17,500, aided by a rise in U.S. stocks on indications that inflationary pressures may be receding.
In the past month, the price of Ethereum has doubled to more than $2,000, driven by anticipation of its highly anticipated network upgrade tentatively scheduled for September 15.
The recent decline in cryptocurrency prices, which also affected leading assets such as Binance coin (BNB), Solana (SOL), and Cardano (ADA), may be due to the market’s “tendency to fluctuate.”
Sebastian Menge, creator and chief operating officer of burn-to-earn platform Fitburn, told Be[In]Crypto that these occurrences are caused by liquidation cascades in reaction to overleveraged, massive long transactions.