Michael Saylor has given his prediction on the ripple effect of the recent SEC onslaught on the digital asset market.

Saylor tips the BTC market as the biggest beneficiary, as a Bitcoin-focused industry may be triggered.

Digital asset enthusiasts slam Saylor over “greedy” and “insensitive” views at a time when altcoins are in distress.

Bitcoin’s (BTC) market share currently stands at 50.1%, recording a 9% increase this year after a tough 2022 showing its strength as the king asset against all odds.

MicroStrategy’s Michael Saylor has noted that the cryptocurrency market could soon become BTC dominated and centred following the regulatory crackdown on altcoins. Speaking at a recent interview with Bloomberg, he said that things could play in BTC’s favour leading to a surging price.

“The SEC’s view is that crypto exchanges should trade and hold pure digital commodities like Bitcoin and so, the entire industry is kind of destined to be rationalized down to a Bitcoin-focused industry with maybe a half a dozen to a dozen proof-of-work tokens,” he said.

His arguments were based on the principle behind the Securities and Exchange Commission’s (SEC) crackdown on the sector. The SEC has hinted that many cryptocurrencies are unregistered securities, with Gary Gensler explicitly exempting Bitcoin from that category. Last week, the Commission slapped Coinbase with a lawsuit alleging that the exchange offers services to unregistered securities, which is risky to investors.

Saylor stated that authorities “do not see a legitimate path for cryptocurrencies, and they don’t have love for stablecoins, crypto tokens or crypto-based derivatives.” He noted that BTC would experience a surge 10 times its current value. He further added that the BTC dominance would increase to 80% of the entire market from its current 48%.

Critics smack Saylor’s views

While Saylor may have his reasons for predicting a Bitcoin-dominated market, crypto enthusiasts and the larger altcoin community have criticized the BTC bulls, with some describing his view as “insensitive.” Anthony Sassano, the host of the Daily Gwei, expressed his displeasure at BTC bulls like Saylor, happy to see the recent woes on altcoins.

“Incredibly embarrassing to see how many Bitcoiners who self-identify as “cypherpunks” are absolutely salivating at the fact that the SEC is going after Coinbase.” 

Others like the management team of MetaMask, have stated that the entire crypto ecosystem has a “multichain” future because blockchains serve various purposes, and only one dominant coin may not meet the numerous use cases.

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Filed under: Bitcoin - @ June 27, 2023 7:13 pm