Hedge fund investor Bill Ackman said Nov. 20 that he is no longer a cryptocurrency skeptic after finding interesting cryptocurrency projects that could enable the formation of profitable businesses and technologies.
Phones, the Internet, and cryptocurrencies all have something in common. Each technology outperforms the next in its ability to facilitate fraud. So while I was initially skeptical about cryptocurrencies, after researching some of the more interesting cryptocurrency projects,
— Bill Ackman (@BillAckman) November 20, 2022
A billionaire investor highlighted how crypto projects are using token issuance to encourage global participation in growing their ventures.
Ackman supports helium
Bill Ackman used helium’s HNT as an example of how crypto tokens build intrinsic value over time.
According to Ackman, demand for HNT has created a two-sided market where users buy tokens to use the network while Helium miners buy and deploy decentralized network hotspots to earn native tokens. To do. He said:
“Given the ultimately finite supply of HNT, the balance between supply and demand will create a market price that rises and falls over time with the success of Helium Wi-Fi networks. It becomes a valuable commodity for which the price is determined.”
Ackman added that helium miners can earn more tokens by placing nodes where they are most needed. He also noted the regulatory hurdles and capital investment required for tech companies like Verizon to build similar networks.
Data show that the helium reward is negligible
Meanwhile, the report reveals that Helium misled users about partnerships and used its tokenomics to favor insiders. Another report found little to no demand for helium and very low returns for investors.
Highest earning person on the network in the last 24 hours according to Heliumtracker.io was Pistachio Albatross that won 2.49 HNT ($5.56). Hotspots average between $200 and $400.
HNT is down 94% year-to-date, according to CryptoSlate data.
Ackman Reveals Crypto Investments
A billionaire investor has revealed that he is directly investing in crypto projects such as DIMO, Goldfinch Finance and ORIGYNTech.
Ackman said he is an investor in seven cryptocurrency VC funds and a smaller investor in cryptocurrency companies such as TRM Labs and TaxBit. Investors are not investing in helium.
Cumulatively, these investments represent less than 2% of his wealth. He added, “I invest more as a learning enthusiast than as a cautious investor.”
call for more regulation
Ackman said cryptocurrencies could bring great benefits to society with proper regulation and supervision.
“Despite the ability of cryptocurrencies to facilitate fraud with the benefit of sensible regulation and oversight, the potential for cryptocurrency technology to have a beneficial impact on society is doubtful that telephones and the Internet will ultimately lead to economic and social consequences. can be compared to the impact on
According to him, legitimate players in the space will seek to expose and weed out cheaters, as they “significantly increase the risk of regulatory intervention that will reverse the potential positive impact of crypto for generations.” We need to encourage.”
