Charlie Lee on CNBC: Charlie Lee, founding father of Litecoin (LTC), chatted with CNBC in regards to the latest Bithumb hack, Bitcoin worth, and the Lightning Community.
Charlie Lee on CNBC: Bithumb Hack
The South Korean crypto alternate Bithumb was hacked earlier this week, with a complete of USD $30 million in crypto being stolen. It was sufficient to shift the alternate from its sixth-place rating for every day buying and selling quantity all the way down to seventh. Together with the lack of crypto from the alternate, many cryptocurrencies’ costs plummeted from the ensuing panic, together with Bitcoin (BTC).
Lee defined that the worth drop was to be anticipated. “It occurs on a regular basis,” he mentioned. Crypto is stolen, folks get scared, and so folks promote, inflicting crypto costs to drop.
Nonetheless, Lee argued that Bithumb being hacked – actually, any alternate hack – doesn’t change Bitcoin’s core fundamentals. He likened this to a financial institution theft:
“It’s like if a financial institution will get damaged in and gold will get stolen, does this have an effect on the worth of gold? It shouldn’t. Identical with Bitcoin. If the alternate doesn’t defend their coin properly sufficient and will get hacked, it doesn’t actually change the basics of the coin that they’re defending.”
His reasoning comes all the way down to the truth that an alternate hack has extra to do with the safety of the alternate than it does with the crypto stolen.
Charlie Lee on CNBC: Bitcoin Worth
Bitcoin could also be dropping for the reason that begin of this 12 months, however Lee is adamant that the coin remains to be “going rather well.” He explains that Bitcoin’s community is changing into stronger and that the worth of BTC might be “disjointed from the precise improvement of Bitcoin.”
He famous that the market is unpredictable and that proper now, it’s a bear market with no means of telling how lengthy that may final.
“I’ve been on this area for seven to eight years now and I’ve seen bear markets final three to 4 years now. So, this one could possibly be a 3 to 4 12 months market or it might get well tomorrow.”
The takeaway right here is that it’s extra vital to concentrate to the developments of crypto initiatives than their present costs.
He completed by saying, “I’ve religion that costs will rebound and are available again up pretty quickly.”
Charlie Lee on CNBC: Lightning Community
Charlie Lee mentioned that the factor he was most enthusiastic about presently within the crypto area was the Lightning Community.
“What I’m most enthusiastic about is Lightning Community. Technically, Bitcoin has gotten stronger and stronger over the previous few years. SegWit has activated, builders are working onerous on getting Lightning Community which is the second layer answer for funds engaged on Bitcoin and Litecoin.”
What did you consider Charlie Lee on CNBC? Do you agree with him?
Featured picture: Bitsonline