Logan Paul revealed he’d lost more than $500,000 in crypto investments due to the latest crypto market crash that has seen its value plummet to less than half of what it was worth last year.
The idea behind crypto is that it was supposed to be used as digital cash, but the reality is that it’s become a popular form of speculative investment. As a result, the market is volatile. It ebbs and flows constantly.
However, the crypto market is in the midst of a major crash. According to Bank of America’s global crypto and digital asset strategist Alkesh Shah, it happened for several reasons, including inflation and an increase in interest rates.
The market was worth $3 trillion in November 2021. Now, it’s worth less than half of that. Bitcoin is worth the lowest it’s been since December 2020. Meanwhile, other cryptocurrencies like Luna and TerraUSD are worthless.
As a result, many investors are at a loss, including Logan Paul, who claims he’s lost more than $500,000 and counting. He also claimed KSI had lost even more. However, he believes it’s “just another bump in the road.”
“It’s not a great time to be fully involved in crypto,” said Logan, speaking from personal experience with his investments. “KSI, my business partner in Prime, lost $3 million. I personally have lost over half a million thus far.”
It might seem like a lot of money to influencers and entrepreneurs like them, but it’s still a significant loss. Moreover, it’s only what they’ve lost so far. Their losses could snowball even more if things continue.
Despite that, though, Logan is looking at the bigger picture. “If you believe in the tech, and you believe in the function of cryptocurrency, and you zoom out and go super macro, this is nothing. It’s just another bump in the road.”
Logan admitted it’s “really hard” for a lot of people to not panic over what’s happening. However, he believes the best thing to do is “remove your emotions” from the situation. “If you play the long game, you’re going to win.”
He isn’t the only one who feels that way. According to the New York Times, some analysts believe the panic is overblown. They believe a “death spiral” will only begin if Bitcoin’s value dips below $21,000. However, only time will tell.