100+ million suckers rekt globally by a crypto gangsters bunch

The FTX collapse required swift decisions from key players in the crypto industry that could strengthen the already flimsy investor confidence. One of the decisions was to introduce the technology to check the exchanges’ reserves. The Proof-of-Reserves function launch was supposed to reassure users and convince them of the assets’ safety. But in the end, PoR only added fuel to the crypto-haters’ fire.

Economist Nouriel Roubini, who predicted the global financial crisis, spoke quite harshly about both exchanges and their clients on his Twitter. Citing articles in the Financial Times, he suggested abandoning any attempt to regulate the sector:

Better to let crypto burn down than the regs proposed by Adam Tooze. Let crypto self-destruct with no reg rather than try to control a monster that has corrupted the system. Regulators cannot keep turning a blind eye to crypto craziness.

Source: Twitter

Roubini then backed up tech journalist Stefan Diehl, who said that cryptocurrency is not an investment, but a game of chance. Here, the professor at New York University wasn’t holding back:

Crypto is corrupt gambling where the house always and systematically front runs the retail suckers that get rekt. 100+ million suckers rekt globally by a bunch of crypto gangsters: 19700 ICOs were a scam in the first place or went bust. The biggest criminal heist in human history!

Source: Twitter

How did the analyst react to the launch of Proof-of-Reserves? Dr. Doom, whose competence is not in question, considers the proof of reserves to be another fraudulent scheme. He is convinced that the assets held on the exchanges’ balance sheets will inevitably suffer in the event of bankruptcy (“These are banks, NOT exchanges!”), And ironically calls the new feature “Proof of Scams”.

Source: Twitter

Binance also got caught in the crossfire, while trying with all its might to distance itself from FTХ. In the meantime, Roubini simply put an equal sign between the two most talked about players this fall:

Binance = FTX. Only much worse and more shady. At least we knew that FTX had a headquarters in shady Bahamas, but shadier Changpeng Zhao has been hiding Binance headquarters for good. Why? BNB = FTT: same scammy vaporware with 87% of its supply off the market and hidden in one wallet controlled by ..?

Source: Twitter

Roubini is a skeptic and pessimist with unquestioned authority in the field of financial and economic forecasting. How right he is with regard to cryptocurrency and the largest representatives of the sphere, only time will tell. In the meantime, it is worth keeping a close eye on what is happening in the financial markets: in early autumn, Dr. Doom announced a financial shock and a lengthy recession awaiting the US in 2023.