Blockchain.com’s CEO predicted a “push upward” after a U.S. government default on Thursday.
If Congress does not lift a $31.4 trillion cap on government borrowing, the U.S. government might default next month, causing economic disaster and financial market panic.
A U.S. default or recession would hurt crypto in the short term. “These are risk assets, and you want to take risk off,” Blockchain.com CEO Peter Smith told Bloomberg’s Qatar Economic Forum.
“On a long horizon, these are beneficial for crypto…If the U.S. fails, the crypto market will likely pull back and surge.
Smith claimed 2022 was “quite painful,” but this year is recovering, and 2024 would be “another exponential year” for the cryptocurrency sector.
Blockchain.com, a crypto exchange and wallet provider, may expand its Dubai location.
“The (Dubai) government’s in a very healthy, consultative process with the industry and about regulations…I think so long as those end up where we think they will, we’ll probably be investing heavily in Dubai,” he added.
Blockchain.com launched an office and hired workers after signing an agreement with Dubai’s crypto regulator Virtual Assets Regulatory Authority (VARA), last September.
Smith said the corporation is investing extensively in Singapore and Europe operations.