Jim Cramer a crypto critic and host of Mad Money on CNBC argued that the crypto industry is desperately trying to keep things up which he believes is similar to what happened with bad stocks during the dot-com bubble.
Cramer made the sweeping claim last Monday on the CNBC show, urging crypto investors to sell at a loss, that is never too late. Cramer said in his words:
Cramer built his argument on the collapse of the FTX crypto exchange which was worth $32 billion at its peak. He predicted that frontier crypto projects like Ripple (XRP), Dogecoin (DOGE), Cardano (ADA), and Polygon (MATIC) would decline even more, possibly to zero.
Last month Elizabeth Warren a senator of the United States publicly declared it was time to ‘regulate crypto, or it will take down the economy.’ She believes crypto is no exception to the ‘dangerously delusional’ claims of the financial schemes that crumbled in the past 14 years.
Ripple’s chief technology officer contended that unless preemptive tools deter asset managers from gambling with clients’ money, the fraud committed by the FTX exchange will happen again. Schwartz said:
This year retail and institutional web3 investors have lost over $60 billion to the collapse of significant projects such as Terra LUNA, FTX, Celsius, and Voyager.