Last year, the richest representatives of the crypto industry, whose total assets were estimated at ~$140 billion, lost over 75% of their wealth. Only half of them retained their billionaire status.
According to Forbes, 2022 was the toughest year for billionaires in the cryptocurrency market. In 2023, only half of the wealthiest members of the crypto industry managed to maintain their status, and their combined capital is estimated at only ~$30 billion, compared to ~$140 billion last year.
The Forbes list of “unfortunates” who failed to keep their billionaire status after the crypto winter in 2022 included such well-known personalities as:
- Sam Bankman-Fried. Co-Founder of FTX and Alameda Research lost more than 99% of his capital. His net worth is now estimated at less than $10 million compared to $24 billion in March 2022.
- Gary Wang. Former CTO of FTX lost about 98% of his personal capital, which was worth $5.9 billion in early 2022 and is now worth less than $10 million.
- Barry Silbert. Founder of Digital Currency Group (DCG) lost 90% of $3.2 billion in 2022, and his personal capital this year is valued at $320 million.
- Devin Finzer and Alex Atallah. Co-Founders of OpenSea saw their capital decline by 73% from $2.2 billion in 2022 to $600 million in 2023.
- Tim Draper. The capital of the U.S. venture capitalist and Bitcoin entrepreneur dropped by half in 2022. His wealth is estimated at $650 million this year, down from $1.2 billion at the beginning of 2022.
- Michael Saylor. MicroStrategy Founder and Bitcoin Investor lost over 52% of his $1.6 billion personal wealth in 2022. As of today, his wealth is estimated at only $760 million.
- Fred Ehrsam. Co-Founder of Coinbase owns only $930 million in 2023, losing about 55% of his capital during 2022.
The other richest members of the crypto market were able to stay on Forbes’ list of billionaires, but also lost a significant amount of their personal capital in 2022. Among them are:
- Changpeng Zhao, CEO of Binance, lost 83% of his personal capital. His assets are valued at $10.5 billion.
- Twin brothers Cameron and Tyler Winklevoss, Bitcoin Businessmen, lost 70% of their personal capital. Their assets are valued at $1.2 billion.
- Co-Founder and CEO of Coinbase Brian Armstrong lost 67% of his personal capital. His assets are valued at $2.2 billion.
- Ripple Co-Founder Chris Larsen lost 49% of his personal capital. His assets are valued at $2.2 billion.
- Alchemy Founders Nikil Viswanathan and Joseph Lau lost 25% of their personal capital each. Their assets are valued at $1.8 billion.
- Bloq Co-Founder Matthew Roszak lost 21% of his personal capital. His assets are valued at $1.1 billion.
- Ripple and Stellar Co-Founder Jed McCaleb lost only 4% of his personal capital. His assets are valued at $2.4 billion.
According to Forbes analysts, crypto investors were affected by such factors as:
- fraud allegations;
- government lawsuits and investigations;
- rivalries and interpersonal conflicts;
- falling asset values.
Recall that earlier, Forbes analysts found out that about one-third of the 65 richest people in the world invest in cryptocurrency assets.
