STORY: If you’ve invested in crypto how devastating is a crash?
21-year-old Halil Ibrahim Gocer from Ankara in Turkey put almost all of his savings into crypto holdings, 60% of which is now gone.
Looking back, he says he lost a lot, but earned a lot too.
(Halil Ibrahim Gocer, Cryptocurrency investor)
"My initial capital of crypto investment was around $1000."
Gocer used a crypto crash in March 2020 as an opportunity to buy in and reap some spending money amid the economic burden of the health crisis.
The crypto market reached a record peak in November 2021, rising as high as $69,000.
"I made $150,000 in cash at its peak. Not everyone can withdraw their money from the top point, and I'm one of those who can't. I was able to save around $65,000."
But within a matter of months warnings from regulators about the risks of dabbling in crypto became reality.
Bitcoin fell below $20,000 on June 18 for the first time since December 2020.
It has plummeted around 60% this year.
The overall crypto market has slumped to around $900 billion, down from a record $3 trillion in November.
"I convinced my best friends, my relatives. I even brought in my father. He started with $5,000, 80,000 in Turkish liras. Now he has $600."
Individual investors across the world feel bruised and bewildered.
Many are angry at companies in the sector. Others swear never to invest in crypto again.
"In a way, I was lucky because I really came across the bull period. If I had coincided with the bear period and lost all my money, I would not have entered again. I would have left this market and never looked back."
Financial regulators globally have been working out how to build crypto guardrails
that can protect investors and dampen risks to wider financial stability.
With the condition of market regulation, Gocer is still hopeful for the future of crypto.
"I haven't become wiser yet. I'm considering of reinvesting in the blockchain. Now the thing is, if these are regulated, then we will be able to see the results of real investments. I may go bankrupt, all my money may melt, I have no problem with it. The important point here is the social environment, social pressure. This is the most important thing because I brought people around me to this job with myself. This was the biggest mistake I made."