In a new interview with Fox Business News, Hoskinson said he initially thought people would use cryptocurrencies as a safe haven to invest during periods of global economic downturn, but instead saw a price correlation with other risk assets and the S&P 500 (SPX).
However, the CEO and founder of Input Output says that as the crypto market matures, it will start operating independently of other investment categories.
“I thought encryption would be counter-cyclical and it would be a place where people put assets when they feared the global economy. But so far they seem to be moving in parallel with technology stocks and some of the most benchmark stock markets. So this is kind of a problem. But all things considered, I think long-term cryptocurrency markets will be separated from traditional markets and have their own economy similar to how they have energy for their own economy or these kinds of things. It’s likely to happen in the next 24 or 36 months. I think there are a lot of opportunities here. ”
Hoskinson also says that blockchain upgrades such as ADA’s recent hard Vasil fork or Ethereum (ETH) integration demonstrate how innovation occurs across different blockchain projects during the bear market and there are significant growth potential.
“[Cardano] is a slow and systematic project. Everything we do on an annual basis is about making things better, faster and cheaper, and ultimately improving the use and usefulness of the platform. So Vasil was about 12 months into the business, and we just took it out last month, and it’s really exciting to see that it caused a lot of great positive promotions in our community.
But more broadly, when we look at cryptocurrency space, that’s the case. Most people build and although the overall environment is not very positive, the individual environment of each cryptocurrency whether Ethereum with merger or Cardona with Vasil looks better and better every day. We continue to have more capacity. As you know, there is a significant growth in everything from GameFi to Metaverse to NFTs [non-replaceable codes] to DeFi [decentralized funding]. So I’m very optimistic in the long run.