The Bitcoin Faithful Want Distance From Musk

Hello, this is Olga. On the stage of the Miami cryptocurrency conference earlier this month, Pandit Max Keizer repeatedly shouted what has become a familiar refrain among crypto-believers: “F — Elon.”

Hashtags with these and similar phrases have grown in importance on Twitter. There are plenty of t-shirts with the slogans. Someone created a website for the haters, there are several related coins and dedicated Telegram groups have amassed thousands of followers.

Fueling the vitriol is, of course, Musk’s unprecedented power over the market cap of cryptocurrencies. Earlier this year, the billionaire pushed bitcoin prices to record highs when he announced that Tesla Inc. was an investor. A few months later he did tweeted that Tesla would not accept Bitcoin as payment for its cars due to its environmental footprint – which is helping to prevent a crypto sell-off from. to advance Hundreds of billions of dollars.

Every tweet from Musk has the potential to impact markets. On Sunday when Musk tweeted that Tesla would allow Bitcoin purchases if Bitcoin got cleaner, the coin rose more than 10%.

“Crypto folks hate that we are somehow indebted to Elon’s views,” said Nic Carter, a general partner at Castle Island Ventures, which invests in crypto startups. “It is unfortunate that we are so exposed to one man’s opinions. This is a global market – there are tens of millions of market participants. “

For the many cryptocurrency enthusiasts hoping to free the market value of Bitcoin from Musk’s whims, the solution is to get bigger individual needs to grow, ”said Lex Sokolin, Global Fintech Co-Head at ConsenSys. In one tweet, Changpeng “CZ” Zhao, CEO of the world’s largest crypto exchange Binance, wrote, “As more people enter the industry and the market capitalization of crypto increases, the impact of a single individual will decrease.”

Ironically, the industry may have to listen to him in order to overcome Musk’s influence, Carter said. The next growth spurt in the industry will likely be driven by corporate investors and sovereign states. Almost 90% of public companies have environmental, social and governance initiatives, followed by 79% of venture and private equity-backed companies and 67% of private companies, according to a recent one global survey.

To cater to these potential new owners of Bitcoin, a handful of crypto miners whose computers support the coin’s network have formed the Bitcoin Mining Council, which will work to promote the use of green energy to produce Bitcoin. The formation of the council was spurred in part by Musk, who was involved in an early establishment call for the group.

Musk’s influence could also potentially be dissipated by the entry of other key executives wading into cryptocurrencies. But that too can take time. Because the crypto markets are so volatile, many companies have largely stayed on the sidelines.

“It’s not Musk’s fault, he’s simply one of the top three richest people in the world with a reputation for seeing the future,” said crypto investor Aaron Brown, who also writes for Bloomberg Opinion. “I don’t think anyone likes this unless they’re making money doing retail exchanges. But I don’t think it will have any long-term effects on crypto, and I think it will fade as the sector matures. “

Musk’s tweets do not answer questions about the future of crypto. “There’s no point in getting angry about it,” Brown said. Olga Kharif

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