Crypto.com CEO Kris Marszalek believes digital assets will be boosted in the fourth quarter of the year, primarily as the US central bank cuts interest rates.
In an interview with Bloomberg on Tuesday, Marszalek said Crypto.com’s revenues were “especially when there may be a sluggish Fed rate reduction and strong fourth quarters this year.”
He added that he is betting on cuts to the US Federal Reserve at his September 17 meeting. This is usually suitable for cryptography. This is because borrowing is cheaper and can be used for riskier investments.
The Fed’s last interest rate cut was between September and December 2024, when interest rates fell from 5.5% to 4.5%, with the crypto market rising by 57% over those four months.
The CME futures forecast market shows that the probability of interest rate cuts skyrocketed to 91.7% when it suggested that monetary policy would be eased, following Federal Reserve Chairman Jerome Powell’s Jackson Hole speech on August 22.
Kris Marszalek speaks on Bloomberg TV. sauce: Bloomberg
There are no decisions regarding the IPO yet
Marszalek said his company “has the numbers” to create a public list, but he enjoys being private and has not yet made a decision.
Related: Chatting on the rising Fed rate could be the red flag of the code: santiment
“We must admit that considering these options is very appealing,” he said in a potential early public offer. Several crypto companies have raised billions of dollars this year in their public debuts.
He added that the company had revenue of $1.5 billion and total profit of about $1 billion last year.
“We’ve approached all the top names from an investment banking perspective. We want to be a very well-run company, so we’re preparing everything, but no decision has been made at this point.”
Adventures to the forecast market
Marszalek also revealed that the company is planning to enter the forecast market space. “We believe the forecast market will be huge,” he said. “Sports is a part of it, but it’s not the whole thing.”
“We want to be the liquidity center of the forecast market on the US land and athletics, so we’ll play very aggressively in that area.”
The blockchain forecasting market is currently dominated by Polymarket and Kalshi, which have collided with regulatory and legal hurdles when offering event contracts in the US.
Surge in CROs on Trump Media Partnership
Crypto.com announced its partnership with Trump Media and Technology Group, owner of US President Donald Trump’s Truth Social Platform on August 26th.
The agreement includes the establishment of a financial strategy for Cronos (CRO), the exchange’s native token.
The token spiked almost 150% to $0.38 after its announcement, but has retreated to $0.27 since its 72% decline since November 2021.
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