Personal finance guru Dave Ramsey has weighed in on the downfall of cryptocurrency exchange FTX. “I told you so,” he said repeatedly, repeating his long-standing advice that investors should not put money into crypto.
Dave Ramsey on Bitcoin, Crypto and FTX Compressed
Personal finance guru and CEO of Ramsey Solutions Dave Ramsey emphasized the implementation of cryptocurrency exchange FTX in an episode of The Dave Ramsey Show that aired on Friday.
Ramsey, a self-proclaimed personal money management expert, calls himself “America’s trusted voice on money.” He is the author of seven bestselling books that have sold more than 11 million copies in total.
A longtime Bitcoin and crypto skeptic, Ramsey called BTC “funny money” in December 2020. He also expressed doubts that Bitcoin may cash out, advising investors to sell their coins now. In January, he said that crypto is fun and is here to say but “for fun” should only be a small part of a portfolio.
Referring to his warning about crypto, the self-proclaimed personal finance expert said “I told you so” several times during his show published on Friday. He recalled:
I get a lot of crap from the Bitcoin brothers … they are like Mary Kay for young men … they can’t listen to anything. If you are not going to do their job, their brain shuts down.
Ramsey added that whenever he advised, “Don’t do crypto,” he was bombarded with responses like “I’m an idiot.” I’m a boomer. I’m out of touch. I don’t understand.”
He then read a news article that compared FTX and its former CEO Sam Bankman-Fried to the Enron fraud and Bernie Madoff’s Ponzi scheme. The cryptocurrency exchange filed for Chapter 11 bankruptcy protection last week.
Noting that FTX is facing a criminal investigation in the Bahamas, Ramsay commented: “If you can get Bahamians so upset about you that they go after you – because they’re very quiet – I’m just saying you get them upset. You’ve actually stepped into it.” The Bahamas Securities Regulator has taken steps to freeze FTX’s cryptocurrency holdings.
It’s a straight up steal.
Ramsey went on to quote some crypto proponents saying to him in the past: “Dave, come on, at what point, Boomer, are you going to wake up to this new and shiny awesome thing, you don’t know what you’re talking about. Telling people to stay away from this, I have already done…” He continued:
Where is your money now? Mr. Fried took it.
“It’s been all over the news for the last 48 hours. This could be the biggest fraud and theft in human history,” he stressed.
While expressing his distaste for “over-regulation” when it comes to his money, the personal finance guru admitted: “I like a little bit, and right now you don’t want a little bit of regulation with FTX’s Sam Bankman. -Fried. “
In conclusion, Ramsay said:
I hate that you lost money, but I told you not to do this stuff.
“I just hate the sentiment around this stuff and what it does to people because they get sucked into it and then they take their heads off,” he opined.
After the collapse of FTX, a growing number of lawmakers have called for stricter crypto regulation. While some analysts have warned of contagion risks for the entire crypto ecosystem, many are still optimistic about the future of the industry. The president of El Salvador said on Thursday that his country will start buying BTC on a daily basis. Shark Tank star Mark Cuban explained that the FTX implosion is not a crypto blowup while Tesla CEO Elon Musk said Bitcoin will make it. Kraken CEO Jesse Powell described: “The damage here is huge … we’ll be working to undo this for years.”
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