Qualigen Therapeutics, Inc. (NASDAQ: QLGN) has officially announced the launch of its C10 Cryptocurrency Asset Treasury (DAT) purchases, raising questions about whether the recent market downturn represents a pivotal opportunity for CXC10. The last 48 hours have proven to be exceptionally challenging for the cryptocurrency sector, with around $16 billion in leveraged positions liquidated, resulting in a significant decline in investors’ paper wealth. In moments of widespread concern, it is crucial to maintain composure, as such declines can often present unique opportunities. As Warren Buffett famously stated, “When others are greedy, I am fearful; when others are fearful, I am greedy.” Here’s our analysis and future outlook:
Understanding the Recent Decline: A Necessary “Stress Test”
In the past couple of days, the cryptocurrency market has undergone a dramatic deleveraging process, with over $16 billion in positions liquidated—81% of which were long positions—within a single day, causing a nearly $200 billion drop in total market capitalization. This decline does not indicate a collapse of market fundamentals; instead, it serves as a “stress test” influenced by geopolitical tensions, macroeconomic conditions, and excessive internal leverage. A significant factor was geopolitical developments, particularly former President Trump’s proposition to impose 100% tariffs on China, sparking risk aversion in global markets. Given cryptocurrencies are considered high-risk assets, they were particularly hard hit. The market’s panic, exacerbated by dwindling liquidity over the weekend and during the Asian trading session, led to a wave of forced liquidations. Additionally, the recent issues with Ethena’s USDe revolving loan functioned as a “risk amplifier,” revealing vulnerabilities in certain synthetic assets that were unable to withstand extreme market fluctuations. Thus, we believe this event marks not the start of a bear market, but rather the necessary unwinding of unhealthy leverage and fragile structures within the industry, paving the way for genuine value to emerge.
Transforming Challenges into Opportunities: CXC10 Set to Launch Strategic Asset Acquisitions
While many may view this situation with trepidation, CXC10 sees it as a prime opportunity, one for which we are thoroughly prepared. The hallmark of a disciplined institutional investor lies in their readiness to seize opportunities while others succumb to fear. We are excited to observe that many high-quality assets with robust fundamentals are now falling within our defined, attractive value ranges. Historical trends indicate that the value of leading cryptocurrencies will continue to rise over time, a sentiment echoed in our C10 portfolio strategy. In the past two weeks, we have successfully laid the groundwork, establishing infrastructure for US dollar cash settlements, bank accounts, and cryptocurrency custody services. We are now pleased to officially announce that the C10 Treasury, a subsidiary of CXC10 (QLGN), will commence its first round of strategic asset acquisitions starting next week.
Our Strategy: The Systematic SMART Investment Framework
Our confidence is rooted not in speculation but in a robust, systematic methodology that has been designed and tested—our SMART Investment Framework. This framework serves as our roadmap during market downturns, particularly focusing on the R (Risk Management) module: Passive Defense: A substantial 80% of the C10 Treasury closely tracks the C10 Index, investing in the top 10 cryptocurrencies by market capitalization. This strategy has significantly buffered our portfolio against the impact of this market correction, which has affected smaller-cap cryptocurrencies more severely. Active Allocation: The remaining 20% of the Treasury is directed towards the top 10 cryptocurrencies based on rigorous quantitative analysis, which has resulted in performance exceeding the index on average. For instance, BNB, our largest allocation, has been a standout performer among mainstream cryptocurrencies. Strategy Upgrade: We plan to enhance our 20% active allocation strategy by incorporating active hedging techniques involving stablecoins, options, and structured products. These financial tools have been integrated into our system from the outset to effectively mitigate risks and safeguard our treasury’s net value during extreme market fluctuations. Furthermore, our S (Strategic Allocation) module has already established a clear asset allocation hierarchy, providing us with focused insights into potential acquisitions. The M (Quantitatively Driven) module employs a scoring model that enables us to identify fundamentally strong assets that have been inaccurately prioritized amidst market turmoil. In the future, we will share insights on our active allocation and risk hedging strategies through various channels. Additionally, we are promoting investment products like C10 private funds and ETFs to broaden our asset management reach and help more cryptocurrency investors achieve superior returns.
Targeting Quality Assets: Strategic Mergers and Acquisitions Ahead
Our forthcoming investment and M&A focus will target assets that were undervalued during this recent market downturn and that align with our long-term strategy: Core Blue-Chips: Key public chains with strong ecosystems and technological advantages, such as Binance (BNB), Ethereum (ETH), and Solana (SOL). High-Growth Leaders: Prominent projects in booming sectors like AI, real-world assets (RWA), and oracles that have faced significant corrections, yet whose long-term value remains intact despite short-term market panic. Moreover, this market correction provides us with a rare opportunity for industry expansion. Beyond acquiring secondary market assets, we will also actively seek out startups with innovative technologies but limited cash flow for strategic mergers and acquisitions. This strategic approach will allow us to expand our CXC10 industry presence efficiently and cost-effectively. Concurrently, we are in the process of establishing our New York office; individuals interested in joining our team are encouraged to reach out.
Long-Term Perspective: The Fundamentals of the Bull Market Persist
In conclusion, we want to stress that short-term deleveraging events will not alter our fundamental outlook on the long-term bullish trajectory of the cryptocurrency market. The macroeconomic factors propelling this dual bull market—regulatory compliance, ongoing capital inflows from investment vehicles like Bitcoin ETFs, the Federal Reserve’s interest rate cuts, and the technological advancements integrating AI and Web3—remain steadfast. Our goal is to cultivate a Web3 ecosystem that is intricately connected with the real economy and resilient in both bullish and bearish market conditions. This healthy market correction has only strengthened our conviction, clearing the way for our advance and presenting an ideal opportunity to embark on our journey. For CXC10 (QLGN), the true game is just beginning.
About Qualigen Therapeutics, Inc.
Qualigen Therapeutics, Inc. (NASDAQ: QLGN), based in Carlsbad, California, is a biotechnology firm dedicated to the development and commercialization of innovative therapeutics in oncology and immunology. The company is actively engaged in strategic initiatives in the cryptocurrency and Web3 space, focusing on integrating advanced technologies and capital market innovations to drive global growth.
Investor & Media Contact
Investor Relations Department
Qualigen Therapeutics, Inc.
5857 Owens Avenue, Suite 300, Carlsbad, CA 92008
Tel: +1 (760) 452-8111
Email: [email protected]
