On August 27, Jordan Belfort, the man who inspired the award-winning movie The Wolf of Street, said in an interview with Yahoo Finance that he was wrong when he claimed the price of Bitcoin would hit zero.
As Belfort put it, when he made this claim in 2017, he “hated cryptocurrencies” because the market was surrounded by scams. This has slowly changed over the years, but remains a negative effect of decentralization.
“Back when I really hated crypto, I stand by everything I said about crypto in 2017 except for one thing, I was wrong about bitcoin going to zero, but I didn’t. didn’t look closely enough because I just said it was a scam because it just seemed like that because in all the earmarks of it, “
Bitcoin has been proven not to be a scam
A self-proclaimed NFT Twitter enthusiast, Belfort noted that he changed his mind about Bitcoin “when it crashed and fell to three thousand dollars.” During the crash of 2018, the price of bitcoin did not drop to 0 as the billionaire expected, i.e. it did not crash all at once like it did. does Terra (LUNA), so he started to take a closer look at the project.
“What turned me, slowly but surely, was number one when it crashed and it went down to three thousand dollars, like it’s still like a multi-billion dollar market, I’m like wait a second when things fall apart they go like luna terra and UST this is what happens they are supposed to go the way of UST this is the first thing that made me start to look closely “
Additionally, at the time, Belfort feared that US regulations would slow Bitcoin adoption, as China attempted to do. However, unlike China, several senators and governors in the United States are pro-Bitcoin and are working to ensure that regulations do not slow its path.
Jordan Belfort sees Bitcoin as a long-term investment
Belfort says people shouldn’t invest in Bitcoin expecting to realize their investments in 12 or 24 months. Ideally, they should have a horizon of around 4-5 years. In that time frame, he’d be “surprised” if they didn’t make any money because of Bitcoin’s “underlying fundamentals” which are really strong.
“At some point, there will be enough maturity with bitcoin that it starts trading more like a store of value and less like a growth stock.”
Belfort noted that regulations are needed to improve the cryptocurrency ecosystem because while many scams and frauds exist in traditional markets, they pale in proportion to the crypto sphere.
An average person with little knowledge can trade and make decent profits in the stock market. In contrast, in the crypto market, “people are getting slaughtered.” And that’s something that could change if the innovation-friendly regulations are in place.
When it comes to Belfort’s favorite cryptocurrencies, the Wall Street mogul has made it clear that he only trusts Bitcoin and Ethereum and that any other investments he makes in other currencies will be for the speculation or gambling with his friends and, as he says, it is a movement that requires people to be ready to lose everything.
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