Last Updated on February 6, 2023 by Bitfinsider

According to Michael Saylor, co-founder of Microstrategy, high-profile crypto bankruptcies and a severe price drop are unavoidable evils that will help the industry flourish. However, more regulation is required.

In an interview on 3rd February, Saylor expressed his thoughts on potential future crypto legislation in the United States in light of FTX’s bankruptcy, saying: “The crypto meltdown was painful in the short term, but it’s necessary over the long term for the industry to grow up.”

The Bitcoin Lightning network was mentioned in his statement that the industry “has some good ideas,” but some people in the sector “implemented those good ideals in an irresponsible fashion.”

Saylor claimed that organizations with a history of working in the traditional financial markets, as well as regulators, in particular the Securities and Exchange Commission (SEC), need to provide guidance to the cryptocurrency sector.

Saylor claims that this “meltdown” educated many people about cryptocurrencies and demonstrated that it’s “time for the world to provide a constructive, transparent framework for digital assets” in order for the financial system to advance “into the 21st century.”

Saylor on Munger’s criticism of crypto

Charlie Munger, the vice chairman of the insurance and investment company Berkshire Hathaway, was criticized as well by Saylor, who suggested that the 99-year-old investment guru spend some time learning about Bitcoin.

Munger stated on February 1 that cryptocurrency is “not a currency, not a commodity, and not a security,” instead referring to it as “gambling,” and that the US should “obviously” pass laws outlawing it.

Saylor said that Mungers criticism of cryptocurrencies wasn’t “totally off,” but added that there are “10,000 crypto tokens which aren’t gambling”

He continued that “he would be more bullish on Bitcoin than I am” if Munger “spent 100 hours studying” bitcoin.

Saylor cited developing nations with high rates of cryptocurrency use, including Lebanon, Argentina, and Nigeria, whose use cases range from remittances to inflation hedging. To end off, Saylor said: “I’ve never really met someone that spent some time to think about it that wasn’t enthusiastic about Bitcoin.”