SINGAPORE — Galaxy Digital CEO Mike Novogratz said many retail investors who lost money in the collapse of Terraform Labs’ luna cryptocurrency had failed to appreciate the risks involved and held onto their tokens for too long.

“It was heartbreaking when the whole thing collapsed,” he said. “When a token goes from 20 cents to $100 and you don’t take profit, that’s lunacy.” The problem was a lack of “risk management methodology” for many retail investors who excitedly bought into the token as it was appreciating.

Speaking at the Token 2049 conference in Singapore, Novogratz appeared to play down some of the more serious accusations leveled at Terraform Labs’ co-founder Do Kwon, who is being sought by South Korean authorities on allegations of fraud. The authorities are also looking to freeze tens of millions of his assets. Galaxy Digital was an investor in the project and Novogratz is keeping a tattoo of the luna cryptocurrency as a mark of humility.

Novogratz pointed out that everything Kwon and Terraform Labs built was public, given the nature of blockchain technology.

“It’s not like he was hiding how it worked,” he said. “There were other things in crypto I was more frustrated with, like Three Arrows Capital,” Novogratz said, referring to the failed crypto investment fund now being managed by court appointed liquidators. “Celsius, that was irresponsible,” he said. Celsius Networks’ CEO Alex Mashinsky resigned Tuesday as the company faces claims on its assets from creditor groups.

Novogratz also said that despite the bear market in crypto, and his belief that the traditional economy is on the precipice of a 2008-style collapse led by the bond market, there are still bull-market vibes at the conference in Singapore.

“Everyone is at the conference having fun, but they don’t know the world is collapsing,” he said.

UPDATE (Sept. 28, 11:36 UTC): Replaces lead photo.

UPDATE (Sept. 28, 13:28 UTC): Rewrites headline to add context.