Antoni Trenchev, co-founder and CEO of landing platform Nexo, has compared the current cryptocurrency market crash to the banking panic of 1907.
He has noted in a conversation with Bloomberg that more successful players are forced to come to the aid of colleagues in an attempt to prevent the collapse of the industry. He has said:
“Frankly, it reminds me of the Panic of 1907 when JP Morgan was forced to step in with their own funds and then pool all the solvent guys to fix the situation. This happened before the emergence of the Fed, so there was no lender of last resort.”
According to him, now the market has developed a similar situation. The head of Nexo has emphasized that the company aims to be part of a solution that will lead to the consolidation of the cryptocurrency industry.