Former Goldman Sachs hedge fund manager and crypto millionaire Mike Novogratz has remarked on the situation of the cryptocurrency market in the midst of the ongoing Russia-Ukraine war crisis.
In an interview with Bloomberg on Tuesday, March 1, Novogratz stated that the Russia-Ukraine conflict could boost Bitcoin and cryptocurrency while driving people away from the US dollar.
Russia has been subjected to serious sanctions, with the international community disconnecting the country from the global financial system via SWIFT. As a result, the Russian ruble lost 40% of its value against the US dollar in the previous week, falling to a multi-decade low. Ukraine, on the other hand, has cut back on its use of local money and started taking crypto donations to help fight Russia.
Such sanctions and restrictions, according to Novogratz, are likely to push people to use the decentralised currency. However, he made it clear that this does not imply that Bitcoin or cryptocurrency may be used to avoid sanctions. During his interview, the Galaxy Digital Holdings founder said:
“We’ve never seen a group of countries effectively confiscate real estate from Russian tycoons. This sends a message: I want money that exists outside of traditional power structures.”