Galaxy Digital boss Mike Novogratz believes that Bitcoin and gold will eventually be able to mount comeback
In a recent interview with CNBC’s “Squawk Box,” Mike Novogratz, chief executive officer at Galaxy Digital, claims that both Bitcoin and gold will end up winning in the long run if central bankers revert back to monetary easing.
Novogratz continues to blame macro headwinds for Bitcoin’s underperformance.
The cryptocurrency billionaire argues that many have been caught off guard by the speed of monetary tightening in 2022. “At the beginning of the year, people didn’t think you were gonna be able to raise rates a lot, and we are on our way to 4%,” Novogratz said.
He added that U.S. Federal Reserve Chair Jerome Powell and other central bankers around the globe managed to find their “central bank courage.”
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On Wednesday, the Fed is expected to announce another 75-basis-point rate hike to calm inflation. The tightening trend is global, with Sweden’s central bank recently announcing a full percentage point hike.
Novogratz‘s net worth swelled to an impressive $8.5 billion last year. Following the cryptocurrency crash, it has now shrunk to $2.1 billion, according to the Bloomberg Billionaires Index. Despite a significant drop, he remains among the richest people in crypto.
The Wall Street vet gained prominence in the mid-1990s at banking giant Goldman Sachs. He was poised to lead the bank’s Latin American branch, but he left the company due to “lifestyle issues.”
Novogratz then regained success with the Fortress hedge fund, but it was shot down in 2015 due to poorly timed bets. In 2017, he managed to regain his billionaire status with the help of cryptocurrencies.
