According to Barry Silbert, the world will soon have a mountain of cryptocurrencies with no real value whatsoever, reported CNBC on Feb.14.
Silbert, CEO and founder of Digital Currency Group, said:
“I’m not a believer in the vast majority of digital tokens and believe most will go to zero.”
He further stated:
“Almost every ICO was just an attempt to raise money but there was no use for the underlying token. The vast majority of what’s out there will be eliminated.”
Most of the new Initial Coin Offerings (ICOs) that came up after Bitcoin’s (BTC) meteoric rise to $20,000 in December 2017, helped in raising the crypto market cap to nearly $800 billion, in which Bitcoin played a major role.
This rise, however, quickly subsided due to projects either failing to deliver or turning out to be running false of security laws.
This step came up last year when United States regulator, the Securities and Exchange Commission (SEC), asked all operating and future crypto-related projects to register with the agency.
Silbert, despite his strong criticism of other ICOs, has reserved special praise for Bitcoin, labeling the crypto as “digital gold” in his opinion, saying:
“I’m convinced that whatever money is in gold is not going to stay in gold.”
Agreeing with Silbert’s comment on using Bitcoin as a digital alternative to gold, for me, some other ICO’s already existing on the market still have some credibility to be worth investing in.
However, As a crypto investor, I certainly wouldn’t stop looking at potential cryptocurrencies worth making investments since technological advances in the crypto industry would never make existing cryptos and upcoming ICOs totally worthless.