Galaxy Digital founder finally responded to the critics, for his support for Terra’ Luna coin.
Mike Novogratz is a billionaire founder of the digital asset management company Galaxy Digital. At present, he is precisely doing work to make wise investments in Bitcoin and other leading crypto assets.
On 5 January, Mike confirmed through the tweet that he is officially a Lunatic. A tattoo on the arm of Galaxy Digital founder can be seen.
In the last two weeks, the Crypto industry saw a very big correction in the price of Terra’s native tokens Luna & UST. Luna fell below the ICOs launch price and UST stable coin crashed to almost zero.
The current price of Luna is $0.00013, which is almost zero value against its $94 trade price.
After the huge downfall of the Luna coin, many people started to criticize the Galaxy Digital founder for his official promotional support for the Luna coin.
In the latest, Mike Novogratz penned an open letter to his followers to share his own opinion on this situation.
“My tattoo will be a constant reminder that venture investing requires humility.”
Through the letter, Mike noted that the collapse of the Terra ecosystem resulted in huge fear among the crypto investors and Defi protocols users.
“The collapse dented confidence in crypto and Defi…(..)…whenever money is lost in such an abrupt fashion, people want answers.”
Further, Mike added that it doesn’t mean the crypto Industry will not move toward the downside, instead it will head toward the upside after getting out of this cycle.
“This does not mean the crypto market will bottom and head straight back up. It will take restructuring, a redemption cycle, consolidation, and renewed confidence in crypto.”
Further, on the investment, Mike confirmed that Galaxy Digital only invested in Luna in the fourth quarter of 2020 but Treasury didn’t use UST stable coin.
Through the update details, Mike Novogratz confirmed that the firm already secured 80% of the investment back before the Terra Ecosystem collapse, which means Galaxy Digital successfully made a huge profit and lost almost nothing.