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Paul Krugman: BTC Is on the Verge of Disappearing

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Paul Krugman: BTC Is on the Verge of Disappearing

Nobel Prize-winning economist Paul Krugman is confident bitcoin and Ethereum, the world’s two biggest digital currencies by market cap, aren’t going to last much longer and are headed for points of no return.

Paul Krugman Thinks BTC Is Done

A lot has happened in the crypto arena in just the last few months. For one thing, the fall of crypto exchange FTX has sent ripples throughout the space that have seemingly caused a lot of other exchanges and blockchain-based companies to feel the heat. Aside from this, the prices of many digital currencies are struggling to maintain their present levels, with assets like BTC now falling into the low $16K range at the time of writing.

This is the lowest the asset has been in over two years, and many analysts think the currency could fall to 2019 levels. Paul Krugman is going a step further and claiming that bitcoin and many of its altcoin cousins are “headed for oblivion.”

In a recent interview, Krugman stated:

It’s hard to see what advantage these firms would have over ordinary banks. Even if the value of bitcoin doesn’t go to zero (which it still might), there’s a strong case that the crypto industry, which loomed so large just a few months ago, is headed for oblivion.

The FTX disaster is likely going to go down as one of the biggest digital currency embarrassments in history. The enterprise, first beginning in the year 2019, was long considered one of the big golden players in the industry, having accumulated billions of dollars in user funds over the course of three years and eventually rising to the top of the exchange ladder.

It’s founder and head executive, Sam Bankman-Fried, was considered a genius by many, and prior to the company’s fall, his net worth was estimated to be above $16 billion, though that’s all changed now that the company has had to file bankruptcy and Bankman-Fried has resigned from his post.

For a while, it looked like larger competitor Binance was going to buy the smaller firm out, but this wasn’t meant to be. Now, regulators everywhere are renewing calls for high-end regulation to ensure that what happened with FTX never happens again.

Regulation Needs to Come in

Anna Becker – chief executive of crypto trading firm Endo Tech – said:

If crypto is to survive, we will need to see an agreed form of regulation that comes from within the industry and is overseen by regulatory bodies such as the U.S. Securities and Exchange Commission (SEC) and Federal Deposit Insurance Corporation (FDIC) to ensure proposed standards are maintained. Heightened regulation is a matter of urgency and needs to be established immediately. For retail investors who aren’t as well versed in risk as professional investment firms, they deserve trustworthy oversight, guidance, and risk disclosure.

Tags: bitcoin, FTX, Paul Krugman


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BitPay Announces Partnership With MoonPay – Bitcoin Magazine

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Bitcoin And Artificial Intelligence Frees Your Time - Bitcoin Magazine


BitPay and MoonPay, leading bitcoin and cryptocurrency payments infrastructure providers, have partnered “to provide BitPay users with significantly increased ways to buy cryptocurrency instantly, and at great rates.”

“BitPay’s unique marketplace experience also presents multiple rates for buyers, ensuring they receive the best possible price for their cryptocurrency purchases,” the press release states. “Additional benefits of the integration include fast delivery to any owned wallet address, as well as the ability for buyers to pay with their preferred method, including credit card, debit card, Apple Pay, Google Pay or a variety of local bank transfer methods.”


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Why Real Regulatory Change In Crypto Has Not Happened

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Why Real Regulatory Change In Crypto Has Not Happened



Legislators need to educate themselves on Web3 if they care about protecting consumers, Steven Eisenhauer, chief risk and compliance officer at Ramp, writes.


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South Korea to deploy cryptocurrency tracking system in 2023

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South Korea to deploy cryptocurrency tracking system in 2023


The Ministry of Justice in South Korea announced plans to introduce a crypto-tracking system to counter money laundering initiatives and recover funds linked to criminal activities.

The “Virtual Currency Tracking System” will be used to monitor transaction history, extract information related to transactions and check the source of funds before and after remittance, according to local media outlet khgames.

While the system is slated to be deployed in the first half of 2023, the South Korean ministry shared plans to develop an independent tracking and analysis system in the second half of the year. A rough translation of the ministry’s statement reads:

“In response to the sophistication of crime, we will improve the forensic infrastructure (infrastructure). We will build a criminal justice system that meets international standards (global standards).”

The South Korean police previously established an agreement with five local crypto exchanges to cooperate in criminal investigations and ultimately create a safe trading environment for crypto investors.

Related: South Korean prosecutors request arrest warrant for Bithumb owner: Report

The South Korean Supreme Court ruled that crypto exchange Bithumb must pay damages to investors over a 1.5-hour service outage on Nov. 12, 2017.

The finalized ruling from the supreme court ordered damages ranging from as little as $6 to around $6,400 be paid to the 132 investors involved.

“The burden or the cost of technological failures should be shouldered by the service operator, not [the] service users who pay commission for the service,” the court stated.


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