Pantera Capital is one of the leading investment companies in the crypto-Ecosystem. Why is the chief investor Joey pitcher looks in spite of the bear market set for a bright future and what technical improvements are necessary, he explains in an Interview with Bloomberg.
in 2018, was not a good year for crypto investors. Since the all-time high in December of last year, the Bitcoin has lost 66 percent of its value. But the Hodler, the investor Freud.
Joey Krug, the Pantera-head investor that holds a ten-fold increase in the price after the next Bull Run for quite realistic, identified but also some technical hurdles that are in front of it. But first, the good news is that is reaches The ground, much deeper than that, the courses are not more likely to tumble from here on.
“I think we are at this point almost on the floor. The market is waiting for the impetus to get things going again.“
scalability than tipping the scales
These “impulses,” as Krug calls it, are of a technical nature. What rally is a rate, are a rising number of users for decentralized applications and crypto-currencies. This is a fail, but back on the topic of scalability. The current transaction speed of distributed applications is not competitive. The current Status in the crypto-Ecosystem Krug compares with the early days of the Internet:
“If you look at the Internet, it is easy to say: ‘Well, you just build an App, get some users, and the scalability of solving problems.’But [Kryptos] markets, and if these are not sufficiently scalable, there is no Market Maker and thus no liquidity.“
approaches for scalability are remote. The Lightning network is currently still in Beta-Phase, is suitable, the Bitcoin transaction speed increase considerably in the medium term. This will improve the Usability of the crypto-currency and could mean a capital inflow in the whole Ecosystem.
innovations
in addition to the scalability problem is identified jug, a further barrier to market entry for investors. The high Fiat-to-crypto transaction fees of the established Exchanges deterred institutional investors. So Coinbase charge fees of between 1.5 and 4 per cent, incurred during the conversion of Fiat to crypto. Here, Krug sees large potential for improvement.
“I think within the next year, the fees] will fall [to 0.5 percent. Maybe not in the case of Coinbase, but rather at emerging Start-ups.“
crypto-markets are always ripe
On Tuesday, the 16. October, we reported about the announcement of the Wall Street giant Fidelity to a Trading Desk only for crypto-currencies offer. The fact that these kinds of news can trigger an immediate Bull Run, more and more, seems to confirm the Krug statements. The market is more Mature and not react nervously to the news. What counts, is the technological Foundation and not the Hype.
Together with the decline in volatility can but hope.
