Warning to Cryptocurrency Investors from Morgan Stanley

Cryptocurrency market has seriously damaged confidence in cryptocurrencies and blockchain in the past few days. Terra (LUNA) and the UST event Afterwards, investors also changed their comments on the cryptocurrency markets. Today, a negative statement came from Morgan Stanley, one of the world’s largest investment banks.

Morgan Stanley, which published its new research report, from decentralized finance, NFTs and stablecoins referred to the serious damage suffered. Bank analysts emphasized in the report that the 40% drop in Bitcoin since April should no longer be associated with stock markets. The analysts’ statement was as follows:

“Decentralized finance seriously harms”

“Exaggerated and allegedly high-yielding decentralized finance and cryptocurrency-backed stablecoins are currently attracting masses of people. seriously harming. This shows us that the high prices are actually generated by significant speculation and that actual user demand is very limited.”

The report also touched on metaverse lands and NFTs and explained the reason for investing in such assets.the belief that it will be sold to other people at a higher price‘ explained. Analysts also referred to the recent IHR collapse and made the following statements:

“Crypto-backed stablecoins have become an important part of the high-yielding system built within decentralized finance. The latest event, on the other hand, led to an increase in market uncertainty and instability. People are starting to reevaluate at what level cryptocurrency prices should actually be traded.”

Stanley also shared that bank customers also asked whether the UST event would reflect on the financial markets.