News Digest: Crypto veteran likens downturn to ‘LTCM moment’

June 27, 2022

News Digest:

The ongoing downturn in the crypto landscape is a “little bit” similar to the rapid collapse of Long Term Capital Management moment in the late 1990s, Michael Novogratz, chief executive of Galaxy Digital and a long-time crypto investor, has said. 



Similar to the unwinding of LTCM, which was massively geared and had deep connections with several Wall Street banks, the crypto ecosystem is presently undergoing an “accelerated deleveraging” with large-scale repercussions, Novogratz argued. 



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