Briefly
Brian Armstrong, CEO of Coinbase Global, no longer appears on Bloomberg's list of the 500 richest people in the world — his wealth has fallen by more than $10 billion from its peak seven months ago, when it reached $17.7 billion. This decline reflects a broader movement: bitcoin and the entire crypto market have undergone a sharp correction, reducing the sector's capitalization by nearly $1.9 trillion since October 2024.
Why it happened
Analysts point to three main factors:
1) The direct link between bitcoin's price and the market capitalizations of participating companies: Coinbase shares have fallen roughly 60% from the July 18 high and a further 2.8% on Tuesday, pushing down the fortunes of the company's owners.
2) Institutional pressure: JPMorgan Chase & Co. cut its target price for Coinbase shares by 27%, citing "weakness in cryptocurrency prices, lower trading volumes and slow stablecoin growth" — this increased market uncertainty.
3) A large market correction: bitcoin has halved since early October; on January 31, 2026 it dropped below $80,000, and on February 5 it fell below $70,000. The overall market has declined from a peak of $4.379 trillion in early October 2024.
"Part of the philosophy of this whole industry is pain"
— Michael Novogratz, co‑founder of Galaxy Digital (interview with Bloomberg)
Who else was hit
The decline struck all the industry's key figures: the Winklevoss brothers — from $8.2 billion in October to $1.9 billion; Michael Novogratz — from $10.3 billion to $6.2 billion; Michael Saylor lost about two thirds of his wealth since the July 2025 peak. Companies also reported real losses: Galaxy recorded roughly $500 million in losses in the fourth quarter, and Gemini announced staff cuts and scaled back some international operations.
What this means for the market — and for Ukraine
These events are not just personal losses for billionaires. They underline important trends:
• Volatility as a systemic feature. Cryptocurrencies remain a high‑risk asset: their swings in both directions instantly translate into multibillion‑dollar changes in the wealth of investors and companies.
• Impact on fundraising and international projects. Capital contractions and the scaling back of operations at Gemini show that projects depend on market conditions — a factor to consider when using cryptocurrencies in long‑term financing strategies.
• A signal for regulators and investors. Falling prices strengthen the case for greater transparency, effective risk‑management mechanisms and portfolio diversification.
For Ukraine, this is a reminder: the crypto sector is a tool, not a guarantee. Tech innovations and fundraising opportunities matter, but national economic security requires resource diversification, mature regulation and risk control.
"(JPMorgan) cites weakness in cryptocurrency prices, lower trading volumes and slow stablecoin growth"
— JPMorgan Chase & Co., comment via Bloomberg
Conclusion
Armstrong's wealth decline is a symptom of a broader market rupture, not an isolated incident. The question is not only who lost wealth, but how investors, companies and states will turn this experience into resilient policies and practices. Can the industry strengthen risk‑management institutions — and will those who consider crypto assets part of a national strategy learn these lessons? That is a task for regulators, business and international partners.
