Changpeng Zhao, CEO of Binance, spoke today during the BlockDown event in a speech moderated by the crypto influencer Jessica Walker, where they also discussed the price of bitcoin.
As far as exchanges are concerned, CZ explains that activity is going well and volumes are increasing in general even though the price of BTC is decreasing. Obviously, businesses are having problems, considering the interactions with foreign countries for example, though for cryptocurrencies the world doesn’t stop since almost everyone works remotely and the activities are online.
Will the price of Bitcoin go up?
Everyone would have thought that the price of BTC would go up during the economic crisis, and what happened was not expected by CZ either. Besides, historically, when the price goes down, trading volumes go down as well, but right now exchanges are seeing higher volumes, so according to CZ the price will probably go up soon, although of course there’s no certainty.
Moreover, in his opinion, the fact that the FED is printing trillions of dollars will tempt people to invest some of this money in crypto, although obviously, this process will be slow. On the other hand, this is giving courage to those working in the crypto industry.
Surely this situation is peculiar and he has never seen such a situation, economically speaking, even when he was working for Bloomberg, a company he left in 2006, which was long before he discovered cryptocurrencies in 2013.
As for IEOs, according to CZ, their future is prosperous, albeit he prefers to call them blockchain fundraising. For this reason, he believes a lot in Binance Launchpad despite the fact it’s now raising only a little, but according to him, it’s just a phase, because it’s too effective a method to raise funds, therefore for CZ it’s a method that will continue to be successful and volumes will increase in the next 10-20 years.
CZ turns out to be very positive, even at this stage telling that when Binance was launched, China had blocked ICO, but any obstacle can always become an opportunity and surely the crypto market and worthy projects won’t stop.
“I think Coronavirus will change social behavior for good,” says CZ, laughing about how he also learned to cook in this period”.
Furthermore, for example, merchants who now do not accept cash are starting to think in digital-only terms, using credit cards only, and this could be beneficial for the potential to increase the adoption of cryptocurrencies as a payment method.