Litecoin founder reiterates his intention to steer clear of buying LTC; claims owning the asset creates a conflict of interest.
Charlie Lee has confirmed that he has no plans to buy back Litecoins (LTC) after selling his holdings in December last year due to what he termed a “conflict of interest”. Despite having hinted at having second thoughts about his decision, the LTC creator reaffirmed his original stance on the matter while speaking on CNBC’s Fast Money this week.
Lee came under fire when he announced that he had sold his entire LTC holding in December 2017, curiously during the coin’s highest trading prices phase. At the time, Lee said:
“Whenever I tweet about the Litecoin price or even just good or [bad] news, I get accused of doing it for personal benefit. Some people even think I short LTC! So in a sense, it is [a] conflict of interest for me to hold LTC and tweet about it because I have so much influence.”
While his decision was welcomed by some, many others criticized Lee for having no skin in his own project, which consequently eroded investor/trader confidence.
One of the top comments on Charlie’s CNBC Interview Tweet echoes similar sentiments:
“It’s such a bizarre thing to say owning the asset you created is a conflict of interest. Thats [sic] like saying Walt Disney shouldnt [sic] have owned disney [sic] stock or Steve Jobs shouldnt [sic] have owned Apple stock.. if the founder doesnt [sic] own any.. why should I?”
However, while speaking on the matter last year, Lee had remained adamant that he did not use his influence to benefit financially:
“I have always refrained from buying/selling LTC before or after my major tweets, but this is something only I know. And there will always be doubt on whether any of my actions were to further my own personal wealth above the success of Litecoin and crypto-currency in general.”
In his recent CNBC interview, Lee also spoke about the current market condition and a possible reversal, saying it could take a few months or a few years, given how unpredictable the crypto market is. He did, however, say that buying on the way down is a good way to cost-average your buy-ins.
Lee also offered the age-old advice to refrain from investing more than you can afford to lose, citing examples of people mortgaging their properties and risking what they cannot afford.
He also touched on the upcoming Litecoin Summit in September, saying that the event’s main focus will be on technology, adoption and scalability.