Bobby Zagotta – CEO of Bitstamp USA – believes that there is currently a “bit of de-risking” in the digital asset industry as many investors have turned to stablecoins. However, he predicted that bitcoin could soon start trading like gold, assuming private cryptocurrencies gain popularity.
How Zagotta sees the future of crypto?
Bitcoin proponents often compare the asset to gold, arguing that it is an inflation hedge and an alternative investment strategy during times of financial crisis (because the precious metal is considered for years). Another person who supports this thesis is the CEO of Bitstamp USA – Bobby Zagotta.
In a recent maintenance for CNBC, the top executive predicted that BTC could start trading like gold once the coin becomes “more of a mainstream investment.” Nevertheless, the leading cryptocurrency has yet to reach that point.
Zagotta pointed to the uncertainty in financial markets today. According to him, the majority of investors currently stay away from risky assets such as digital currencies. Steadily rising prices for goods and services, the COVID-19 pandemic and the military conflict in Ukraine prompted many people to start investing in less volatile assets, including stablecoins, he said.
The CEO also touched on President Joe Biden’s executive order on digital currencies. He noted that there are millions of crypto investors in the United States, and that it’s “really important that the government recognizes the opportunity as legitimate and valid.” Zagotta believes the directive is an “important step towards clarity”, which in turn will bring confidence to consumers.
Afterwards, he praised Biden’s decision to embrace crypto and make the United States the global leader in the industry:
“His tone is, at least as I read it, focused on innovation and competitiveness for the United States. We think that’s extremely important. President Biden is not only saying that the United States should embrace crypto, but also to be a leader in this emerging global arena.
Recent Bitstamp Efforts
Based in Luxembourg, Bitstamp is among the leading European crypto exchanges. It allows exchanging between fiat currency and many digital assets including Bitcoin, Ethereum, Litecoin, Bitcoin Cash, etc.
At the end of 2021, the company allowed its customers to exchange Shiba Inu for the American dollar and the euro. Interestingly, Bitstamp denied adopting Dogecoin, explaining that the very first memecoin is too influenced by Tesla CEO Elon Musk.
Earlier this year, the trading platform revealed plans to enter the world of traditional finance by offering stock trading products to its users.
Last month, Bitstamp signed a three-year partnership with esports organization – Immortals. As a result, the former will act as the gaming company’s official digital asset exchange.
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