Sam Bankman-Fried (SBF) founded the defunct cryptocurrency exchange platform FTX, which may have done more than just wipe out the entire market by losing billions in capitalization in a matter of days.
Grace Berkery, a senior vice president at Mastercard, is convinced that something positive came out of the market-destabilizing incident following one of the worst and most perplexing digital currency-related company explosions to date.
The startup engagement director for the payment processing company thinks the FTX-related events present a chance for the sector and its players to take a break and reset in order to more accurately determine their next steps going forward.
Berkery is adamant that institutional investors will continue to research the rapidly expanding and extremely volatile crypto space despite this “setback” caused by the FTX crash.
A Crucial Lesson from the FTX Scandal
The Mastercard representative expressed her optimism despite the bankruptcy filing of one of the largest exchange platforms in the world while speaking at an event with the theme “Status of Venture Funding in Crypto and Web3.”
According to Berkery, the FTX issues won’t be enough to convince institutions to completely shun cryptocurrency.
Instead, she believes that the company’s situation taught investors to be more selective in their partner selection, choosing to partner with companies that sport a proven track record and a well-established customer community.
According to Berkery, “the focus will be less on buzzwords and hype in the space and more on what is the concrete value you’re adding as a company.”
It will be difficult to reverse the momentum institutional investors like her company have built up through their involvement in the world of cryptocurrencies, she continued, so they will likely stay rather than withdraw.
During the Future of Crypto Event, which was hosted by Benzinga, the director was quoted by TechCrunch as saying, “I think it’s an opportunity and time to reset.”
The Crypto Industry is Supported by Mastercard?
To be fair, Berkery’s company has demonstrated over the past few years that it supports the digital currency industry by continuing to invest and taking part in a number of initiatives to provide crypto trading for its customers.
Additionally, the payment processing business was able to introduce crypto cards, an innovative financial product that makes use of Binance, Gemini, and Nexo’s technology to improve customer experience with regard to crypto assets.
The institution she represents, the startup engagement chief acknowledged, is confident in the underlying technology of the sector and seeks to benefit from all developments that occur there.