Arthur Hayes Says Its Time for Crypto Projects to Start Launching Their Tokens

Arthur Hayes, co-founder of BitMEX, is urging crypto projects to launch their tokens, citing favorable market conditions despite volatility.

In an essay titled Volatility Supercycle, published late Wednesday, Hayes emphasized that projects should act quickly to capitalize on the current environment.

"Volatility Supercycle" is an essay exploring my track record of predictions and why it doesn't matter as long as the elites continue suppressing the volatility of markets using printed money.https://t.co/AUg0nGTD6j pic.twitter.com/AdT1UmVsAs

— Arthur Hayes (@CryptoHayes) September 26, 2024

“We will be pushing our projects that held off on launching their token due to poor market conditions to hurry,” Hayes said, referencing his crypto-investment fund Maelstrom, which focuses on venture-stage investments for equity and tokens.

Maelstrom launched a grant program in July to support Bitcoin Core developers, reinforcing its commitment to the crypto ecosystem.

Dump Fiat And Buy Crypto: Arthur Hayes

Hayes advised investors to shift fiat holdings into crypto, predicting substantial growth in crypto portfolios due to ongoing market conditions.

“If you are fully invested in crypto, sit back, relax, and watch the fiat value of your portfolio pump,” he added. “If you have extra filthy fiat, left curve this b***h and deploy into crypto.”

He attributed his advice to what he calls the actions of “global elites” – politicians and central banks – who he believes are printing money to control market volatility, making fiat less attractive.

Hayes pointed to recent central bank actions as a key driver for crypto.

He noted that the U.S. Federal Reserve began cutting interest rates, starting with a 0.5% reduction last week, which he expects will continue until rates near zero, a scenario he sees as bullish for crypto.

📃 Fed Rate Cut May Boost Bitcoin and Crypto, but Watch for Short-Term Dips – Analysts pic.twitter.com/I3syNKFqor

— Cryptonews.com (@cryptonews) September 17, 2024

In Europe, the European Central Bank has already cut rates, and Hayes expects more reductions as economic pressures build.

China has announced stimulus measures, including rate cuts and reduced reserve requirements for banks, further signaling global monetary easing.

“All this fiat wampum must go somewhere,” Hayes wrote. “Bitcoin and crypto are the release valves. The fiat required to keep volatility at suppressed levels will find its way into crypto.”

How Q4 Could Ignite a Bitcoin Rally

Hayes pointed to the fourth quarter as a historically strong time for Bitcoin, especially in halving years like 2024.

He referenced Bitwise’s data showing average Bitcoin gains of 29.5% in October and 37.9% in November during similar cycles.

With central banks cutting interest rates and this typically bullish period approaching, Hayes believes it’s the perfect time for crypto projects to launch their tokens.

He sees the current market conditions—rate cuts, stimulus measures, and Bitcoin’s usual fourth-quarter performance—as ideal for projects to take action before the year ends.