Brian Armstrong, the Co-Founder and CEO of Coinbase, the biggest cryptocurrency exchange platform, spoke about his experience and the cryptocurrency market during an interview with Bloomberg.
The CEO of Coinbase exclaimed his experience in the cryptocurrency space as an “organizational chaos” and as an entrepreneur, it has been a “crazy journey”. He said that, at present, there are about 1000 employees in the company, which is six years old.
“Every year there’s another thing to learn, a new skill set whether it’s like fundraising or learning how to manage … more effectively or even now we have a number of offices around the world, six or seven. So just communication across the global workforce and all these things. I’m definitely learning on the flight.”
Brian further spoke about the cryptocurrency price, mainly the price of Bitcoin [BTC] which was around $19700 in the month of December 2017 and the currently valued at around $6000. According to him, cryptocurrencies are currently going through a series of bubbles in correction. He stated that there has already been 4 to 5 bubbles where Bitcoin’s price has shot up and there was an “irrational exuberance” and then the price corrected back by 60-70%. He continued to say that every time the cycle repeats, it is at a “new plateau” and this matches the growth of the company.
During the initiation of the company back in 2012-2013, the company had around 500 users signing up each day which gradually increased to 5000 and then 50000 because of the bubble correction. Brian further relates the cryptocurrency bubble to the 2001 Internet bubble.
“The internet went through this crazy bubble where everybody’s expectation was way ahead of the actual value and it crashed down but a lot of companies got started off as well … companies like Facebook which later turned out to be a very big company. So the same thing is happening, like people’s expectations are all over the map but I think the real world adoption usage is pretty steadily increasing.”
Furthermore, Brian spoke about the U.S Securities and Exchanges stance on Bitcoin and the rejection of the number of Bitcoin ETFs. In his point of view, the SEC has been positive on Bitcoin. However, Brian does not expect the SEC to “take some brand new technology and instantly bless it”. The reason is that SEC’s job is to ensure that there is a safe market for the consumers and that they don’t end up being defrauded.
“So, I think rightfully so, they [SEC] are looking at a lot of scrutiny especially as there are so many new coins coming out there [cryptocurrency market] that are you know have questionable value.”
Moreover, the CEO of Coinbase said that the SEC is good to work with and that the next challenge they have with the SEC is to jointly define the standard of what is an acceptable cryptocurrency.
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