Mike Novogratz, chief executive officer of Galaxy Digital Holdings, said he is interested in what the US authorities have to say about the regulation of crypto, but he finds it said he finds it shocking that they have said nothing about regulating AI, Novogratz said, adding that by choosing to focus primarily on regulating crypto, the U.S. government has turned it “completely upside down.”
real technology that people care about,”
Mike Novogratz, crypto billionaire and CEO of Galaxy Digital Holdings, recentlysaid he was shockedthat regulators seem only interested in “talking about crypto regulation and nothing about AI [artificial intelligence] regulation.” Novogratz also suggested that the government is “dumb” to “cash in on this industry for Sam Bankman-Fried in his Bermuda shorts.”
During Galaxy Digital’s Q4 2022 shareholder update conference call, Novogratz, who previously blasted Sam Bankman-Fried, insisted that he would not oppose any move to remove bad actors from the sector. However, the CEO said he does not like the approach of U.S. regulators, which he said is like “throwing the baby out with the bathwater.”
According to Novogratz, crypto has emerged as an important way to preserve value in a world where fiat currencies like the US dollar are constantly being corrupted.
“This is a real technology that people are interested in. In a world where the dollar is crashing and fiat is crashing, this is a real option as a way to save money, a real way to monetize IP in the realm of NFTs (non-fiat tokens) and in many other areas, this is not a 16th century Dutch tulip! . This is a real technological breakthrough,” Novogratz insisted.
The CEO added that by choosing to focus on crypto while doing nothing on AI, the U.S. government has become “completely upside down.”
Gary Gensler’s Vacillation
Meanwhile, when asked how he sees the backlash from the U.S. Securities and Exchange Commission (SEC), Novogratz responded by pointing out the vacillation between regulators and SEC Chairman Gary Gensler on what constitutes a security and what does not. The CEO also appears to blame the SEC’s inability to clearly name or highlight the attributes that make a crypto asset a security for the impasse that currently exists between industry players and regulators.
On what is needed to move the industry forward, Novogratz says:
On how to capture this new industry and create a set of rules that will allow legitimate players to shape and grow this industry in the US
Really smart people need to think about this.
Image credit:: Shutterstock, Pixabay, Wiki Commons.