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During the Bear Market, Mark Cuban Explains Which Crypto Businesses Will Dissappear

A potential collapse of the lending platform, Celsius has led Investors to be increasingly concerned about the spillover effect. The “Shark Tank” star argued that more businesses built on hype and without valid prospects will disappear after weighing on the struggling ecosystem.

Cuban predicted another possible shake-out not just in stocks but also the crypto market, in an interview with Fortune. Many companies would not survive this crash, said the Dallas Mavericks owner.

“In stocks and crypto, you will see companies that were sustained by cheap, easy money—but didn’t have valid business prospects – will disappear. Like [Warren] Buffett says, ‘When the tide goes out, you get to see who is swimming naked.’”

As the cryptocurrency market increasingly moves in sync with tech stocks which proved costly for investors, the subsequent Terra implosion further fueled the prevailing fears in the crypto space.

The investors worried about a broader contagion as a liquidity crisis takes place at Celsius. Singapore-based hedge fund Three Arrows Capital, facing possible insolvency, have further damped the sentiment.

Despite the extreme pessimism in the industry brought about the two high-flying companies on the brink of a crash in the bear market, the tech billionaire believes that disruptive applications and innovations released during this time will always find a market and succeed.

As the correlation between the Nasdaq 100 and the crypto reached near all-time high this year, Bitcoin acted less as an inflation hedge. Cuban said that tech stocks and crypto will continue to face pressure until the current rush of rate hikes is priced in but asserted that “game-changing applications” would evade that stress.

“If rates go up, it will struggle till it’s priced in. The exception, as with stocks, is for new, game-changing applications.”

Recently, the crypto industry saw massive job cuts. Announcing lay-offs, Coinbase, Crypto.com, and BlockFi shook things up in the crypto industry. As a positive note, exchanges such as Binance, Kraken, and layer 2 sidechain Polygon are looking to increase their headcount with new hires.

The post During the Bear Market, Mark Cuban Explains Which Crypto Businesses Will Dissappear appeared first on Cryptoverze.

Coinbase Reveals European Expansion Plan — Seeks Licenses in Spain, Italy, France, Netherlands

Cryptocurrency exchange Coinbase has revealed its plan to expand in several European markets. The company is reportedly in the process of registering a crypto exchange in Spain, France, Italy, and the Netherlands. Coinbase Expanding in Europe Coinbase Global Inc. (Nasdaq: COIN) is reportedly planning to expand operations in Europe, Bloomberg reported Wednesday, citing an interview::Listen

Coinbase Reveals European Expansion Plan — Seeks Licenses in Spain, Italy, France, Netherlands

Cryptocurrency exchange Coinbase has revealed its plan to expand in several European markets. The company is reportedly in the process of registering a crypto exchange in Spain, France, Italy, and the Netherlands.

Coinbase Expanding in Europe

Coinbase Global Inc. (Nasdaq: COIN) is reportedly planning to expand operations in Europe, Bloomberg reported Wednesday, citing an interview with Nana Murugesan, Coinbase’s vice president of International and Business Development.

Noting that Coinbase is focused on growing its presence in Europe, the executive revealed that the exchange is in the process of applying for a license in various European markets including Italy, Spain, France, and the Netherlands.

The Nasdaq-listed company is currently registered in the U.K., Ireland, and Germany, Murugesan confirmed, noting that Coinbase also recently hired its first employee in Switzerland.

“In all these markets our intention is to have retail and institutional products,” the executive emphasized, elaborating:

It’s almost like an existential priority for us to make sure that we are able to realize our mission by accelerating our expansion efforts.

Coinbase is also open to acquisitions that will accelerate its overseas expansion, Murugesan noted.

The crypto exchange is downsizing, however. Earlier this month, CEO Brian Armstrong announced his company’s plan to lay off 1,100 employees, or 18% of its workforce.

Murugesan said Coinbase’s goal is for the international segment to become a “significant” part of its business. He opined:

This is what our goal would be, but exactly when do we get there, all of that, there’s a lot of dependencies.

On Monday, global investment bank Goldman Sachs downgraded Coinbase to a “sell” rating. COIN has fallen more than 85% since it began trading on Nasdaq. At the time of writing, Coinbase Global is trading at $49.75, down more than 36% over the past month.

What do you think about Coinbase expanding in Europe? Let us know in the comments section below.

During the Bear Market, Mark Cuban Explains Which Crypto Businesses Will Dissappear

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