FRNT CEO Says BONK “Is Not Helping Crypto” Amid 17,484% Frenzied Gain

Stéphane Ouellette, the CEO of FRNT Financial, has expressed his apprehensions about the influence of speculative tokens like Bonk (BONK) on the crypto market.

Specifically, he argued that sensational crypto projects like BONK do not help the long-term health of the crypto space. Ouellette expressed his reservations for BONK during an exclusive interview on the Unchained Premium podcast.

$BONK is not helping crypto, says @StephOFRNT of FRNT Financial on Unchained Premium.

🎄 At Christmas parties, people talk about quick crypto gains, but what does this mean for serious market players? 📉 pic.twitter.com/AxSViEpxIZ

— Laura Shin (@laurashin) December 20, 2023

BONK Not Helping Crypto

The crypto CEO expressed concerns that such tokens, driven by a “game of hot potato” mentality among retail investors, undermine the efforts to establish a genuine investment space for institutional players.

Ouellette highlighted instances from the ongoing holiday season where he encountered individuals enthusiastically discussing their investments in tokens like BONK.

While acknowledging the freedom for individuals to engage in speculative activities, Ouellette emphasized the potential negative repercussions for the broader crypto ecosystem.

He noted that such speculative behavior, when amplified by media coverage, could hinder the efforts to gain credibility among institutional investors.

The FRNT Financial CEO expressed frustration, stating, “These things don’t help me when I’m trying to have institutional investors take this space seriously.”

The Crazy Around BONK

Seven days ago, BONK hit an all-time high of $0.00003419. Meanwhile, as of December 1, BONK traded at $0.000003807. This implies the token has witnessed a dramatic 798% growth in under two weeks.

This exceptional situation transpired amid a 30 million BONK token airdrop. Notably, the airdrop was exclusively accessible to crypto enthusiasts who installed the Bonk app through the Solana Saga phone dApp store.

Meanwhile, a substantial difference existed between the official $599 price of the phone and the worth of the 30 million BONK airdrops, which gave rise to an irresistible opportunity for arbitrage.

Consequently, as more crypto market participants felt compelled to acquire the Saga phone, the price of BONK continued printing returns for earlier investors. Specifically, BONK has experienced a staggering increase of 17,484% compared to its value observed last year.

BONKs One Year chart | CoinMarketCap

Nonetheless, crypto industry leaders like Stéphane Ouellette believe such frenzied price performance creates a perception of distaste among institutional investors.

Source