The Crypto Moguls of 2021 and Everything They’ve Lost to the Events That Rocked 2022

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The Crypto Industry Lost $116 Billion From Everything That Happened in 2022 The Demise of FTX Caused a Liquidity Crisis in the Industry as Investors Unwilling to Invest Funds

The string of bankruptcies amid the market downtrend in the cryptocurrency industry drained funds worth $116 billion in 2022. Forbes said in its latest report. . Crypto founders and investors have lost the aforementioned funds over the past nine months.

The drop signifies the combined personal capital of 17 people in the crypto industry. Moreover, more than half of these investors have lost more than half of their fortune since March 2022. As a result, ten names have been removed from the list of crypto billionaires.

Binance CEO Changpeng CZ Zhao topped the list of crypto billionaires who suffered multi-billion losses. CZ’s 70% stake in the cryptocurrency exchange was valued at $65 billion in March. However, as of December 26, his stake was worth $4.5 billion.

Prominent Billionaires Lose…

Other prominent names in the crypto industry have also lost fortunes worth billions in 2022 through debacles, such as Terra and FTX.

Coinbase CEO Brian Armstrong was valued at $6 billion in March, but as of December 26, it was $1.5 billion. Similarly, the value of Ripple co-founder Chris Larsen was halved from $4.3 billion to $2.1 billion. The Geminis Winklevoss twins were valued at $4 billion in March, but were worth $1.1 billion at press time.

In March, the value of FTX co-founders Sam Bankman-Fried and Gary Wang was valued at $24 billion and $5.9 billion, respectively. As of December 2022, both were bankrupt. The founder and CEO of Digital Currency Group, Barry Silbert, lost around $3.2 billion due to the funds’ exposure to FTX.

Crypto software firm Alchemys Nickel Viswanathan and Joseph Lay, OpenSeas Devin Finzer and Alex Atallah, Coinbases Fred Ehrsam, MicroStrategys Michael Saylor, and Bitcoin venture capitalist Tim Draper could no longer be considered billionaires.

Bears for 2023?

The market downtrend in the cryptocurrency industry was not going away anytime soon. The demise of FTX caused a liquidity crunch in the industry as investors were unwilling to invest funds. Experts believe that a downward trend could continue in the crypto industry until the end of 2023.

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