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Morgan Creek CEO Says FTX Co-Founder SBF Was ‘Pawn’ Used To ‘Punish’ Crypto Industry – Regulation Bitcoin News
Following FTX’s collapse, many industry leaders, influencers, correspondents and politicians have shared their opinions on the carnage the incident has caused on crypto markets and many innocent bystanders. On December 2, CEO and founder of Morgan Creek Capital, Mark Yusko, explained in an interview that it is quite possible that FTX co-founder Sam Bankman-Fried (SBF) was just a “pawn” or “useful idiot” who was taken advantage of to “punish the industry”.
Morgan Creek’s Mark Yusko: “This debacle is a fraud perpetrated by, I believe, some above the useful idiots”
Since the Terra LUNA fallout and the large number of business failures that followed the event, there have been a myriad of theories surrounding these subjects. The latest FTX collapse seems to overshadow all the failures that took place after the Terra crash, and there are still many unanswered questions surrounding the event. A number of individuals have shared their two cents about the FTX fiasco, including CNBC’s Mad Money show host Jim Cramer, Galaxy Digital CEO Mike Novogratz, Congresswoman Maxine Waters (D-CA), and Tesla CEO and Twitter chief, Elon Musk.
On Friday, Mark Yusko, CEO and founder of Morgan Creek Capital Management, told Kitco’s lead anchor and editor-in-chief Michelle Makori that Sam Bankman-Fried (SBF) was a “farmer.” “They’re just pawns in a very large, very elaborate system that was designed to launder money,” Yusko told Kitco’s lead anchor. “It’s certainly possible that there was an intention by someone to have this as an example so that regulators could come in and punish the industry,” he added. Yusko explained to Makori that decentralized finance, also known as defi, threatens traditional finance.
Unlike traditional finance, which is usually controlled by large banks and financial institutions, defi is decentralized, meaning it is not controlled by any single entity. Bitcoin (BTC) and defi challenge concepts like fiat currency and central planning, Yusko informed the Kitco broadcast host. Yusko and many crypto supporters believe defi offers a number of advantages, including greater accessibility, transparency and security. “[Blockchain] replacing trust with truth,” Yusko explained to Makori.
“Who are the trustees today? Financial institutions, third-party middlemen, a $7 trillion industry,” Yusko elaborated. “They would like to not be disrupted by defi and digital assets. It is possible that a group of incumbents may have tried to lobby for regulation to delay, obfuscate or change the course of this disruption.”
Yusko also pointed out that it is possible “someone above” SBF or Alameda Research’s Caroline Ellison was working to achieve a common goal, at the expense of the crypto industry. “This debacle is a fraud perpetrated by, I believe, some above the useful idiots. The two are not playing 10D chess,” the Morgan Creek chief said. “Very large sums of money went to political candidates. There is evidence of [Sam Bankman-Fried] said he was going to give $1 billion in the next election,” Yusko added.
Yusko is extremely bullish on bitcoin (BTC), and in an interview on May 6, 2020, the Morgan Creek CEO said he expected the leading crypto asset to hit $250,000 in five years. During the discussion, Yusko also believed that bitcoin’s price could reach $400K to $500K as well. During his interview with Makori, Yusko noted that the US could risk stagnation if it over-regulates the industry. “If we become too burdensomely regulatory, [crypto] will just pop up in other jurisdictions,” Yusko said. “So eventually, [crypto] will win.”
What do you think of Mark Yusko’s opinion that FTX CEOs are peasants? Let us know what you think about this topic in the comments section below.
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