Crypto Market: Founder of $5 Billion Web3 Company Debunks Criticisms

admin

Yat Siu, the founder of Animoca Brands, spoke with Insider on the state of crypto.Siu explained why he doesn’t fear the present bear market since “crypto is still early.” He addressed the negative narrative of crypto’s concentration by “whales.” It feels as though the gold rush in crypto is over. Gone are the days where…

imageYat Siu, the founder of Animoca Brands, spoke with Insider on the state of crypto.Siu explained why he doesn’t fear the present bear market since “crypto is still early.” He addressed the negative narrative of crypto’s concentration by “whales.” It feels as though the gold rush in crypto is over.

Gone are the days where our social media feeds were rife with tales of teenagers making millions off of drawing cartoons.Bitcoin has fallen roughly 30% since Jerome Powell admitted inflation was a problem – seemingly killing the narrative that crypto could be a hedge against inflation.

So, now that a bear market has arrived, many are anxiously wondering what’s next in the world of online asset investments.Yat Siu, the founder of Animoca Brands — a game software developer and VC firm backed by Soros Capital Management, Sequoia, and Winklevoss Capital – tells investors not to fear.In an exclusive interview with Insider, Siu addressed two of crypto’s biggest criticisms.

Siu’s origins The son of two Taiwanese immigrant musicians to Vienna, Siu grew up as an outsider.He turned to technology as a means to find community.His first foray into technology was building his own music-composing software that he put on a shared server that predated the internet.From that, he was able to make digital friends who didn’t care that he was “10 years old, of Chinese heritage, or much else about him at all,” he said.

They just enjoyed the software he made.

Since then, Siu has been a tech wunderkind, having helped launch Hong Kong’s first internet service provider .In 1996, he built Freenation , Asia’s first free web page and email provider.

His most recent work has been with Animoca Brands.Founded in 2014, the company has become a powerhouse in the Web3 space.It has so far raised $696.5 million in capital from venture capitalists and its most recent raise in January came with a $5 billion valuation.Moreover, it has invested in landmark crypto companies including OpenSea, Axie Infinity, and MetaMask.It has developed partnerships with brands ranging from the WWE and the Disney to the Bored Ape Yacht Club.

On the bear market Siu told Insider that the recent crypto downturn is “part of the cycle.” He said that the Web3 space is in its nascent stage, and that it is vulnerable to “price adjustments” because of external factors including inflation, economic turmoil, and the Russia-Ukraine war.”

However, he remains extremely bullish on the proliferation of crypto’s influence in our daily lives.

He said that in five years, the metaverse “will be the new internet — the internet evolved.The majority of its users will enjoy digital property rights, which will be one of the most significant paradigm shifts in the history of information technology.”

He echoed his position on the vibrancy of the crypto sector by saying that it is still a dynamic market with room for growth.

“The space remains young, there are 4.7 billion people online, 3.2 billion people who play games but only tens of millions of people participating in the open metaverse.

The opportunities remain abundant,” he said.

It is worth noting that while the space is young, many people have negative views of the metaverse.A recent poll conducted by Axios showed that three times as many Americans were scared of the metaverse than were excited.This sentiment carried over to cryptocurrency, where 54% said Bitcoin was too risky to invest in.

On crypto’s concentrated ownership Siu also responded to one of the biggest criticisms of crypto at the moment: that a disproportionate amount of crypto is owned by a small group of investors colloquially known as ” whales .”

“Whales are present in any environment — this is painfully visible in the physical world, which is effectively dominated by the very wealthy few, Siu said”

He added that the presence of whales in crypto is markedly different from those in the real world.

“The existence of whales doesn’t mean that crypto isn’t diversified, Siu said.There are several chains with often completely different users.

Most importantly, new whales regularly appear, demonstrating that the space continues to offer opportunities.”

He continued: “The disproportionate ownership argument makes absolutely no sense to me as a long-time technologist.Imagine if back in the late 1990s everyone else had decided to give up on building an Internet business because Yahoo, Softbank, Amazon, or eBay were so dominant.”

Sign up for notifications from Insider! Stay up to date with what you want to know.Subscribe to push notifications.

Leave a Reply

Next Post

Six signs crypto investment is a classic Ponzi scheme

The recent cryptocurrency crash won’t deter investors looking to get rich fast in a new technology they barely understand.It also won’t stop the many crypto-scammers who understand the psychology behind the bitcoin bubble, the mind-set that leads investors to willfully ignore the blood-red flags that warn they are being conned. The criminal activity surrounding cryptocurrency…

Subscribe US Now