Kyle Bass had started as a hedge fund manager who made huge profits off of subprime loans in the year 2007. He is now the founder as well as the Chief Investment Officer at Hayman Capital Management. He believes that despite millennials preferring crypto over gold, there will be increasingly intense regulations coming soon for cryptos.
Bass predicts that western democratic governments and authoritarian regimes will all soon turn to really strict crypto legislations. He claims that he had already predicted China’s move to ban private crypto and stop mining activities in the country. He claims that the only surprise for him is that he had expected the developments to come a year later.
Bass claims that next year the US IRS will also intensely come down on cryptos. He believes that the world now has many Bitcoin millionaires. But he thinks that this ability to make quick money out of cryptocurrencies like Bitcoin will bring down government regulations in all their intensity. He feels that it will become increasingly harder to make money from Bitcoins.
Bass, however, feels that NFTs and blockchain technologies are going to have a much bigger impact and will carve out a permanent place for themselves in the technology field. He revealed that he himself holds positions in firms that trade in NFTs and blockchains. But according to Bass, it is only private crypto that seems to have a very short life and will soon not be very viable as an investment option.
But Bass also disagrees with many financial experts in stating that the present scenario is not a bubble in terms of leverage and ratios in the economy.
The world of cryptocurrency is an ever-changing landscape, and with experienced investment managers like Kyle Bass speaking out against private crypto, many investors are becoming a little wary about their digital coin assets.