Square, another payment company, bought Bitcoin for $ 50 million and changed its name to Black. Tesla bought for $ 1.5 billion. Venture capital firm Andreessen Horowitz raised $ 4.5 billion for a fourth cryptocurrency-centric fund, doubling its previous one.
Excitement peaked in April last year when the cryptocurrency Coinbase went public at $ 85 billion. Outgoing party for industry. Bitcoin reached $ 60,000 for the first time.
Last summer, El Salvador announced that it would become the first country to classify bitcoin as a legal tender against the US dollar. The country’s president has updated his Twitter profile to include laser eyes, an invitation card for Bitcoin believers. Bitcoin had the value of El Salvador’s $ 105 million investment Cut in half As the price has dropped.
Senators and mayors around the United States began to talk about cryptocurrency as an industry He spent heavily on propaganda. New York’s Mayor Eric Adams, who was elected in November, said he would take his first three checks to Bitcoin. Senators Cynthia Loomis, Wyoming’s Republican and New York’s Democrat Kirsten Gillibrand proposed legislation that would create a regulatory framework for the industry that would give the Commodity Futures Trading Commission more power, which cryptocurrencies have apparently adhered to.
Through the frenzy, celebrities sparked fears they would miss out, slap their NFTs on talk shows and talk about blockchain projects on social media. This year, the Super Bowl Featured Four ads for crypto companies, including Matt Damon, warns viewers that “luck is in the brains of the brave”.
The stock market plummeted, inflation soared and that deceptive optimism waned this spring. The layoffs affected the technology sector. Investors began to lose confidence in their crypto investments and moved money to less risky assets. Many top projects failed in the midst of the withdrawal. Terraform Labs created TerraUST, also known as Staplecoin, and Celsius, a test crypto bank, both collapsed, destroying billions in value and pushing the broader market backwards.