Galaxy Digital executive Steve Kurz discusses the long-term outlook for cryptocurrencies

Steve Kurz, Head of Asset Management at Galaxy Digital, stated that the recent decline in cryptocurrencies reflects healthy deleveraging, while infrastructure growth and institutional adoption support an optimistic outlook. Kurz believes that the recent market downturn was driven by liquidity and the unwinding of leverage, rather than systemic failure. He noted that the market cycle is more mature than in 2022, and most of the forced selling may have already ended. He pointed out that stablecoins, tokenization, and the integration of blockchain with traditional finance are accelerating, and cryptocurrencies are becoming both financial assets and core financial rails. He does not expect a V-shaped rebound, but rather a gradual rise after a period of range-bound fluctuations. As institutional capital deepens, the "deep integration" of cryptocurrencies with traditional finance will continue to advance.