FTX Collapse Gave Another Reason to Charlie Munger to Criticize Crypto

FTX Exchange filed for Bankruptcy after the collapse of the FTT token.
Crypto is a “ very very bad thing,”- Charlie Munger.

Recently the chairman of Wesco Financial and Vice president of Berkshire Hathaway, Charlie Munger, talked and noted about the FTX Exchange collapse.

The FTX exchange crash has created several assumptions among crypto believers.

Charlie was questioned about why FTX filed bankruptcy; replying to the question, he termed digital currencies as a “very,very bad thing.”

Munger underlined, “The country did not need a currency that’s good for kidnappers and so on,” He added, “There are people who think they’ve got to be on every hot deal. They don’t care whether it’s child prostitution or bitcoin. If it’s hot, they want to be in it. I think that it’s crazy.

The VP of Berkshire Hathaway thinks, “Reputation is very helpful in financial life,” he added, “To destroy your reputation by associating with scumballs and scumball promotions is a huge mistake.”

There are more than 120 plus companies affiliated with FTX groups, including Alameda Research, whose Chief Executive Officer Caroline Ellison(So-called Sam Bankman Fried Girlfriend) has resigned from her post.

Recent reports by Reuters notes

Sam Bankman-Fried has “Secretly transferred $10 billion of user funds” from the FTX exchange to Almeda Research for investment in several crypto products.

Charlie Munger noted more about the crypto sector, stating that he witnessed “a lot of delusions” between the crypto industry investors.

Charlie quoted, “It’s partly fraud and partly delusion. That’s a bad combination,” he added, “I don’t like either fraud or delusion and the delusion may be more extreme than the fraud.”

Charlie said that “If you’ve got a good idea, it’s much easier to push that to wretched access,” adding more, he notes, “Good ideas, carried to wretched excess, become bad ideas. Nobody’s gonna say, ‘I got some s—t that I want to sell you.’ They say – it’s blockchain!.”

According to media sources, at the beginning of H2 of 2022, Munger got trolled by social media users and crypto supporters because he termed the crypto craze a “mass folly” and compared crypto with sewerage and its enthusiasts, evangelists, and crypto products as “malicious organism.”

According to available data, Warren Buffett describes Charlie Thomas Munger as his closest, most trusted business partner and right-hand man.

According to the Forbes billionaires list, Charlie Munger is listed as a billionaire with a $2.3B net worth. Charlie is the newspaper Daily Journal Corp. chairman and served as an Army meteorologist during World War II.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing