Gamestop is back in the headlines, but this time it is not about meme stock mania. The retailer raises $ 1.75 billion and a possible use of those funds? Buy Bitcoin.
That is the kind of movement that the market may have delighted a year ago. But according to Galaxy Digital CEO Mike Novogratz, the strategy loses its shine.
“You see a whole new assortment … Balance company plays. I think that is probably a bit overhyped,” Said Novogratz in a recent one Fox Business InterviewRefer to companies that copy the bitcoin-heavy approach of Michael Saylor.
It is a pointed recording of someone who defends Bitcoin for a long time and it lands at a time when institutional interest clearly rises again.
Let’s understand his opinion.
Debt + Bitcoin = risk?
The care of Novogratz is the growing number of public companies that chase Bitcoin exposure without considering the risk profile.
Several of these companies, including Gamestop, finance their strategies due to massive debt increases. That is eyebrows among market writers, especially those who remember how overwhelmed bets look in a recession.
The concern is not about Bitcoin itself, but about how it is taken over. In short: only because Saylor worked it does not mean that everyone will do that.
Bitcoin thrives when trust fails
If you are wondering if Novogratz has become Bearish, the answer is no – not even nearby. His recent tweet cuts directly to the core of why he still sees Bitcoin as essential.
“We are in confidence in the entire country and the world at a Bear Market!” He posted on June 10th. “That is the substantiation of the crypto rally.”
He pointed back to 2008, when Bitcoin first came from the wreck of the global financial crisis. According to Novogratz, not much has changed, except that the bet is higher. ‘Unfortunately, the world did not get [trust] back,” he added. His advice to investors was “Stay crypto for a long time.”
BTC Price Outlook: It’s all about Washington
Novogratz also weighed what Bitcoin could control from here and it has everything to do with the tax policy of us.
“We had a populist government on the left, and now we have a populist government on the right. They love to spend money,” “ he said. According to him, that Bitcoin is set up for a “a really nice” price process.
This time he did not give a specific target for the Bitcoin prize and left it open. “As soon as it goes, you don’t know where it will stop.”
But after a price promotion, Novogratz Bullish is about something that is even bigger – the structural shift in the American regulatory climate. He believes that in the coming 24 months nothing will look like the last, with trends such as Tokenized shares and fixed -income income to reform how settings deal with space.
Still bullish, but not blind
For the sake of clarity, Novogratz does not call on companies to avoid Bitcoin. What he says is more nuanced; That buying BTC must be part of a well -considered strategy, not a bandwagon movement.
The irony is difficult to miss: as traditional institutions are more interested in crypto, some newer players assume the type of herd behavior that the industry is built to move.
Nevertheless, Novogratz remains one of the loudest voices that insist on responsible growth.