eToro CEO: “Selling crypto now is like selling Apple in 2001”

Yoni Assar of the social trading platform eToro, has encouraged cryptocurrency investors to bide their time and hodl. 

Yoni Assia, the CEO of eToro, has been speaking to Business Insider on the growth of cryptocurrencies and ICOs, saying that they are “as good as an investment in the internet 10 years ago.”

Like early web startups, though, many of the current crop of projects – and probably some of the crop of highly funded so-called ‘Unicorn’ ICOs – are not going to make it. According to Assia, “95% are going to end as nothing because that’s startup funding.”

It’s a view that echoes many commentators on cryptocurrency, with Business Insider citing two other sources – Dominik Schiener, the creator of cryptocurrency IOTA, and former JPMorgan trader Danny Masters – offering ultra-low estimates of the number of currently active projects that will survive.

Of course, as with the early days of the web, the lure of the rewards that can come from getting it right remain strong. Especially, it would seem, after a period of relative economic stability – indeed 2018 smashed through the total amount in ICOs during 2017 in a few months, and has more than doubled last year’s total already.

Indeed, Assia sees the current interest in ICOs – and the ease of investing in them – as pretty unprecedented.

“If you have a genius idea now and you put a whitepaper on it,” he says, “suddenly you have 100,000 millionaires reading it and saying ‘hmm, that’s a really good idea.”

“If 1,000 put in $10,000 — which is not a lot of money for those 100,000 — you just raised $10 million for your ICO. That scale has never happened before.”

What’s more, despite the risks of investing and recent losses, he’s still bullish about investing in crypto, seeing it as “as good as an investment in the internet 10 years ago… Tesla made 2,000%, Facebook made 1,000%, Google made 1,000%. This is the same thing but earlier in the cycle.”

“My long-term view is selling crypto now is like selling Apple in 2001,” he concluded, “You do it if you have to do it, you don’t do it if you don’t have to do it. That’s my personal view, again, every person has to decide for themselves.”