Jim Cramer, CNBC’s celebrity stock market expert who educates and keeps investors up to date about the stock market, is a small fan of the crypto market.
Following the recent regulatory pressure on Crypto, when Cramer was asked about his opinion on the current crypto crisis, he showed strict behavior.
Cramer said that SEC should strictly help crypto frauds be responsible, and he also urged for a strict crackdown.
He talked about the recent SEC statement about investors being warned about POR audits. Cramer said that if there is something fishy in these audits, why is the SEC delaying taking action?
The response should be prompt with immediate effect. Talking about FTX’s demise, he said that in current circumstances where investors are unsure about their further sustainability, how can a company put its investors in such a tragic situation?
He said the CEO of FTX using investors’ money for personal gain is the biggest financial crime. So, such trading activities can be fruitful for a society where investors are being rigged with proper planning.
Cramer Also Painted Some of the Crypto Investors as ‘Idiot’
Jim Cramer, in his interview, also said that those crypto investors still investing in cryptocurrencies such as Solana and Litecoin are the biggest idiots out there.
When asked about the platforms’ recent audit report, he also bashed Binance, the world’s biggest cryptocurrency exchange.
He said that as the audit is only considered fair by the company itself and destroyed by the regulators, what value does that hold?
There is something that Binance is hiding. This is a signal for those who are still using Binance for trading.
Cramer also said that investors need to invest in stocks rather than waste their money on some costly adventures.
“I’d never approach virtual currency in millennia since I do not even trust the blockchain exchanges and how they work
Cramer Also Discussed the Collapse of FTX in Detail
The well-known stock expert also voiced his opinion about the demise of FTX. He said that he even has serious concerns about the decentralized exchanges.
He said that the biggest reason that investors should not trust decentralized exchanges is that these platforms need to be regulated.
This means that if any of these exchanges go bankrupt in the future, investors will not receive any compensation in return.
Crypto is nothing but a bubble with rumors that it can make you a millionaire in the future.
He has also asked that if crypto can make you a millionaire in a few months, why are so many crypto platforms holding digital tokens worth billions of dollars struggling to maintain stability?
Cramer added that rather than investing in some blind platform, he would invest his money in JP Morgan. I will be relieved when I get up on Monday and see that my money is safe.
Crypto Regulators Are Still on the Run
After the demise of the FTX F, regulators are after cryptocurrencies and crypto platforms across the globe.
The U.S. SEC is critical of centralized companies adopting the POR mechanism. Binance has recently been examined, and the examinations will continue. Coinbase is also under severe pressure.
Cramer said that SEC must do more than send notices and warnings. Even for the slightest irregularity, a crackdown should be done against those bypassing legal provisions.
That is the only way to save investors’ money. Cramer said that as Stablecoins are pegged with fiat currency, most Stablecoins are backed by USD. So, digital currencies are also hindering the growth of the USD.
Jim Cramer is not the only one who criticized the cryptocurrency market. Recently the current Chief accountant of the SEC, Paul Munter, also said that investors should avoid investing cryptocurrency market and must not believe the POR audit trick.
Despite all these allegations, Binance has assured the investors and regulators that the company will soon share all the information about its financial matters.