The best-selling author of The Black Swan suggested that the period of crisis in the crypto asset market could last “forever.” The economist believes that the word “crypto winter” misleads traders.
Nassim Taleb tweeted a reflection on the current state of the market, which many in the industry are calling crypto winter. Usually when people talk about winter they mean a short season followed by another warmer season. However, in the cryptocurrency industry, this expression takes on a completely different meaning, says Taleb.
The economist recalled the previous crypto winter, which came in 2018 and lasted more than a year, not several months. Now the crisis can also drag on for a long time, and subsequently become an “ice age” for the cryptocurrency market. Which is fraught with the extinction of some organizations associated with the cryptocurrency space, the trader is sure.
The problems now facing Celsius, Three Arrows Capital (3AC), CoinFLEX and other platforms are on the verge of bankruptcy due to the downturn in the cryptocurrency market. Platforms are resorting to extreme measures, including the suspension of deposits and withdrawals. Cryptocurrency broker Voyager Digital approached Alameda Research a few days ago for a $500 million loan to protect client assets from extreme market volatility.
Previously, Taleb spoke more positively about crypto assets, believing that bitcoin has much more advantages compared to government currencies. Recently, however, the economist has become harshly critical of BTC. In February, he said that one should not rely on bitcoin to save funds from inflation.
Source: Bits
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