• Turbulence in the crypto market: FTX insolvent after payment difficulties
• Binance bailout has been canceled – FTX seems to be in too much trouble
• Nouriel Roubini criticizes FTX, Binance and Salvadoran President Bukele
The oldest and largest cryptocurrency by market capitalization, Bitcoin, fell below US$16,000 at times last week, and other cryptocurrencies such as ether also suffered. significant pressure.
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FTX insolvent – Bankman-Fried resigned as boss
The reason for the excitement in the crypto market was again concerns about the stability of the crypto sector. Crypto trading platform FTX.com ran into payment difficulties after doubts over capital reserves led to customer flight and the withdrawal of billions of dollars in funds. Following reports of liquidity issues from competitor FTX, crypto exchange Binance announced a partial takeover of the trading platform. A day later, however, Binance called off the bailout again. The company wrote on Twitter: “We have decided not to pursue the potential acquisition any further.” FTX’s difficulties have exceeded the company’s ability to help, the German news agency said in a statement.
After the Bahamas Securities and Exchange Commission announced last Thursday that it had frozen certain FTX assets and requested an insolvency administrator to handle the liquidation, the company said it had filed for bankruptcy protection. in the United States last Friday. Additionally, FTX boss Sam Bankman-Fried announced his resignation. According to the Bahamian securities regulator, the company is suspected of embezzling client funds, among other things.
Nouriel Roubini criticizes the crypto market
Economist and crypto critic Nouriel Roubini also commented on the events surrounding the FTX crypto trading platform.
He tweeted on Nov. 8 in response to the initially announced Binance bailout: “First FTX bails out collapsing crypto Ponzi scams. Now FTX is collapsing and being bailed out by Binance. cards collapse? Crypto is the mother of all Ponzi schemes! Binance is looking to bail out crypto rival FTX.”
First FTX waives the collapse of crypto Ponzi scams. Now FTX is collapsing and being bailed out by Binance. But who will bail out Binance when this crappy house of cards comes crashing down? Crypto is the mother of all Ponzi schemes!
Binance set to rescue crypto rival FTX https://t.co/7WJGZfJUZI– Nouriel Roubini (@Nouriel) November 8, 2022
A little later, he wrote about a crypto house of cards that was in the midst of a collapse and also criticized crypto exchange Binance on short message service Twitter.
Hopefully this rogue crypto house of cards will unravel soon.
Crypto exchange Binance has helped Iranian companies trade $8 billion despite sanctions. Trading was done through the largest crypto exchange in Iran. Revelations come amid US Department of Justice investigation into Binance
https://t.co/qFPCF7vEzI
– Nouriel Roubini (@Nouriel) November 10, 2022
“Let’s hope that this rogue crypto house of cards will also be unraveled soon. Crypto exchange Binance helped Iranian companies trade $8 billion despite sanctions. Iran The revelations come amid the US Department of Justice’s investigation into Binance,” Roubini said. .
Commenting on a Financial Times article he shared on Twitter, Roubini wrote, “99.9% of cryptocurrencies should be banned or regulated because this is the biggest criminal scam in financial history! The crypto world needs to be safer for investors and users are created. crises require industry to accept regulation and controls”.
99.9% of crypto should be banned or regulated because this is the biggest criminal scam in financial history!
The crypto world needs to be made safer for investors and users.
Recurring crises mean industry must come to terms with regulation and controlshttps://t.co/6zyfJhrXH2– Nouriel Roubini (@Nouriel) November 11, 2022
The economics professor also warned: “After the total crime scams of Celsius, FTX and hundreds of crypto Ponzi schemes, NO ONE (neither retail investor morons nor seasoned morons) should trust ANY platform. /crypto exchange If you invest even a single penny in a crypto exchange, even a pseudo “regulated” one, you are a reckless fool!”
After the total crime scams of Celsius, FTX and hundreds of crypto Ponzi schemes, NO ONE (not retail suckers or fancy suckers) should trust ANY crypto platform/exchange. If you put a single penny into any crypto exchange, even a pseudo “regulated” one, you are a reckless fool!
– Nouriel Roubini (@Nouriel) November 11, 2022
Roubini: the Salvadoran president has bankrupted his country
In this context, Roubini also criticized Salvadoran President Bukele, who introduced Bitcoin as an official means of payment in El Salvador last year.
El Salvador is bankrupt whether or not it has Bitcoins in FTX. With BTC at these levels, they are INSOLVENT. So this criminal Bukele should be in jail for the rest of his life, whatever. He bankrupted his country despite the best advice from the IMF and everyone else
– Nouriel Roubini (@Nouriel) November 10, 2022
On Twitter he wrote: “El Salvador is bankrupt whether or not they have Bitcoin in FTX. With BTC at these levels they are INSOLVENT. So criminal Bukele should be in jail for the rest of his life despite everything. He bankrupted his country despite better advice from the IMF and everyone else.”
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