of Recent implosion Kantor Fitzgerald analyst Josh Siegler said cryptocurrency exchange FTX will not only speed up the pace of new regulation and tighten scrutiny in the space, but also reduce trust in centralized crypto companies. He pointed out that it would impair the On Friday.
“The discussion of regulation and centralization resulting from the FTX debacle could have significant implications for the future framework of the cryptocurrency industry,” stressed Siegler.
Of course, the collapse of FTX, triggered by the discovery of a multi-billion dollar balance sheet shortfall that resulted in a massive outflow, has already captured the attention of lawmakers and regulators, from US Senators to Manhattan’s US Attorney’s Office. I’m here.
Siegler expects the emerging industry to adopt a “two-pronged approach,” whereby decentralized institutions (think DeFi exchange Uniswap) gain retail share while Coinbase Global (coin) will become more prevalent and important for future crypto adoption, the memo read.
However, as seen with FTX, “it’s hard to argue against the case that centralization entails additional risks,” analysts said, noting that FTX’s demise meant that traders could invest money across centralized platforms. He added that it was decided to bring out the
Earlier this week (November 17), the new FTX boss denounced the exchange under the leadership of Sam Bankman-Fried, blaming its poor management practices. worse than enron.