Crypto Crisis? We Ask Alex Reinhardt His Take
For most cryptocurrency investors, May 2022 is a month they would probably rather forget. Sure, crypto has been through some serious ups and downs over the years; however, never before have we witnessed such monumental losses across the industry as a whole.
Within just a few days, the market value of hundreds of widely-known coins dropped dramatically, with some even hitting zero and being wiped out forever. And, just as we thought things couldn’t get any worse, stablecoins, those bastions which we all believed to be rock-solid, were proven to be just as susceptible to market problems as anything else.
So, what happened, and can the industry recover? We met up with the influential crypto-expert and founder of PLCU coin, Alex Reinhardt, to ask if he could explain what all this means for investors and his opinion on the future of cryptocurrency.
Q1 – Hi Alex, thanks for meeting me today. Please tell us what happened and how did all this start?
Most experts will tell you that this all started on May 9th, which is kind of true if we’re talking specifically about this event; however, the root cause of value fluctuations goes much further back, and is linked to how most of the market revolves around the value of Bitcoin. Where most altcoins have developed along with the same strategy as Bitcoin, PLCU has a different development strategy, which results in PLCU coin being less affected by events like this recent one.
Concerning these recent events, it all started when Terra USD (UST) lost its dollar pegging for a short period of time on May 9th. This resulted in the Luna Foundation choosing to loan money to UST to prop its value up; however, the following day, May 10th, it happened again, but this time on a much larger scale. This time, Luna began raising money and came to UST’s rescue once again on May 11th, but the stablecoins problems just continued to get worse.
As a result of Luna’s huge borrowing, the market became worried about Luna itself, and its value quickly dropped from a high of around $100 to an unimaginable $0.01 cent. Because of this and worries about stablecoins not looking very stable, this concern rippled across the crypto world, and we began to see massive sell-offs and values crashing everywhere.
Q2 – You mentioned that the PLCU coin is less affected by the value of Bitcoin; why is this?
Well, unlike Bitcoin, PLCU is designed to be used daily and is not simply a copy of Bitcoin like other altcoins. Bitcoin was originally created to be a secure, alternative payment system. However, today, it has become a digital asset that investors buy, sit on, and hope to sell in the future for a profit. The PLCU coin was designed to be used, and this is what will drive the coin forward. To support this vision, we have created a wide range of innovative products and services to help our growing community of users to thrive.
Our community is our strength, and only through them can the value of the coin remain stable and continue to grow. At its highest valuation, PLCU was worth twice that of Bitcoin. As a company, we try to support our community wherever possible, and we have implemented many ways to do this. So far, we have more than one million users across 120 countries around the world and counting. The community provides the PLCU coin the confidence and stability needed to remain free from Bitcoins influence.
Q3 – You just said that PLCU had created innovative products and services. Can you explain what these are exactly?
Sure, because we want our community to succeed in the real world and the crypto world, we have developed a vast marketplace called Platin Deal, where users can buy and sell products and services using PLCU coin as well as open businesses and network with each other. Then there’s another fantastic platform we call Platin Hero. This is an in-house crowdfunding platform where the community can share ideas, collaborate and invest in new startup businesses. What could be better than the community helping the community? This is such an amazing product.
However, the project that I am most proud of is our PLC Card. This is a crypto debit card that allows the PLCU ecosystem to connect with the real economy. Offering both fiat and cryptocurrencies, users can pay for everyday items in the same way they use a credit or debit card and also pay in crypto thanks to its unique dashboard offering a selection of cryptocurrencies, including PLCU, of course! This is an innovative financial instrument that makes the lives of our community better. And there’s much more in development.
Q4 – Are you worried about PLCU’s future and cryptocurrency in general after recent events?
The short answer to this is no; I’m not worried about the future of PLCU at all. My vision for PLCU is the exact opposite of most other coins on the market, and it was thoughtfully designed to be this way for a reason. About the future of cryptocurrency in general, the answer is also no; I am not worried at all; I’m actually very confident about its future. Blockchain technology is here to stay, so cryptocurrency is too, albeit possibly in a different way than we’re used to now. Blockchain will continue to develop and, in my opinion, will become stronger and stronger.
Q5 – What advice can you offer to investors who have recently lost some or even all of their money?
Well, what else would I say? Honestly, I empathize with those who have lost money because this reflects poorly on the crypto industry as a whole; everybody is tarred with the same brush when crashes like this happen. The same thing happened during the banking crisis in 2008, yet not all banks operate in the same way or were involved in the same schemes. Back then, everyone trusted the banks too much, believing that the banks had their best interests at heart when the truth is, they didn’t.
PLCU coin puts its community first, and we bend over backward to help them make a profit. We burn 100% of our coins to not compete with the community for liquidity. And in addition, we freeze 50% of company coins for one year and reduce the production of new coins each month. All of these actions help increase PLCU’s stability and build long-term trust with our community.
Today, people do their due diligence before choosing a bank, and the banks themselves have changed considerably. People can now choose to put their savings into green and even ethical banks, which focus on the customer and what they want from a bank. PLCU has applied this same philosophy to crypto and offers an entire cryptosystem of services with the community’s wants at its core. Only by making our community our focus can our coin flourish. My advice, why not join us?