Binance CEO Changpeng Zhao highlights need for market reset, says crypto should only attract believers

The CEO of major crypto exchange Binance is explaining why the recent market crash bodes well for the long-term health of the digital asset markets.

In a new interview with CNBC, Binance CEO Changpeng Zhao They say That the crypto market crash was caused by a sudden influx of speculators into the space.

“I think a little reset is healthy to be very clear. Crypto attracted a lot of non-believers to the space. They are just speculators. Most likely, and it really shouldn’t be massive. When it is If massive, it means that the market has warmed up and after some time, there will definitely be a correction.

The markets are generally overswinging from both sides. Therefore, crypto markets should attract only believers, only those who are in it for the technology, who understand how to use it, etc.”

According to the head of Binance, the flush of weak hands resulting from the collapse of Terra/Luna is beneficial to the long-term prospects of the industry as those halving are likely to contribute to the overall growth of the crypto ecosystem.

“I think the reforms are really healthy. But looking at the Terra/Luna crash, it hurt a lot of people but then you also took out a lot of the weaker players in the industry. I really think that now This industry is healthier than in six months [or] nine months ago when bitcoin was [at] $68,000. Now, we see that the people who are building the applications are living in the industry. Investors in the industry now have a long-term outlook. I really think the industry is much healthier now than it was before [trading] at an all-time high.”

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