Financial Guru Dave Ramsey Weighs in on FTX Collapse — Reiterates His Crypto Warning
expert in personal finance Regarding the demise of the cryptocurrency exchange FTX, Dave Ramsey has commented. He frequently added, "I told you so," emphasizing his well-known suggestion that investors stay away from cryptocurrency.
The FTX Collapse and Bitcoin with Dave Ramsey
In an episode of The Dave Ramsey Show that was released on Friday, personal finance expert and CEO of Ramsey Solutions Dave Ramsey offered his opinion on the collapse of cryptocurrency exchange FTX.
America's trusted voice on money, according to self-described personal finance expert Ramsey. More than 11 million copies of his seven best-selling novels, which he is the author of, have been sold overall.
Ramsey, a longtime critic of bitcoin and cryptocurrencies, referred to BTC as "fake money" in December 2020. He also expressed skepticism about the viability of cashing out bitcoin and suggested that investors sell their coins right away.
He stated in January that while cryptocurrency is entertaining, it should only make up a modest portion of a portfolio.
The self-proclaimed personal finance guru used the phrase "I told you so" multiple times throughout his presentation, which was released on Friday, in reference to his warning regarding cryptocurrency. He remembered:
I received so much shit from the Bitcoin brothers. They resemble Mary Kay for young males in many ways. Nothing can be heard by them. If you're not going to do what they tell you to do, their brains are switched off.
Ramsey continued that he frequently received comments like "I'm an idiot" in response to his advice to "don't do crypto." I am a boomer. I have lost touch. I don't comprehend.
Then he read aloud a news article comparing the Enron hoax and Bernie Madoff's Ponzi scheme to FTX and its former CEO, Sam Bankman-Fried. Last Monday, the Bitcoin exchange requested Chapter 11 bankruptcy protection.
Ramsey made the following remark after learning that FTX was the subject of a criminal investigation in the Bahamas: "If you can get the Bahamians upset about you enough that they go after you - because they're a pretty laid-back bunch - I'm just saying you get them pissed off, you have really stepped in it." The cryptocurrency holdings of FTX have been frozen by the Bahamas' securities regulator.
Ramsey yelled:
It is outright theft.
Ramsey continued by quoting statements made to him in the past by crypto supporters, including: "Dave, come on, at what point, Boomer, are you going to wake up to this new and shiny wonderful thing, you don't know what you're talking about telling people to stay away from this, I've already made..." He went on:
What happened to your money now? Mr. Fried accepted it.
"For the past 48 hours, it has been all over the news. He emphasized that this "may be the biggest fraud and theft in human history."
The personal finance expert acknowledged that while he dislikes "over-regulation" when it comes to his money, "I do enjoy a small bit," and "right now aren't you wishing you had a wee bit of regulation with FTX's Sam Bankman-Fried?"
Ramsey concluded by saying:
I'm sorry you people lost money, but I did warn you not to do this.
He declared, "I really loathe the spirit behind this thing and what it does to individuals because they get drawn into it and then they get their heads chopped off."
An increasing number of lawmakers have demanded stricter cryptocurrency regulation in the wake of the FTX meltdown. Many people remain enthusiastic about the future of the business, despite some analysts' warnings about the risks of contagion to the broader crypto ecosystem.
The president of El Salvador said on Thursday that his nation would begin purchasing bitcoin every day. While Tesla CEO Elon Musk predicted that bitcoin would survive, Shark Tank star Mark Cuban argued that the FTX implosion is not a crypto blowup. Jesse Powell, the CEO of Kraken, said: "The harm here is enormous... For years, we'll be working to undo this.
Tags
FEATURED