{"id":535053,"date":"2023-01-04T17:54:47","date_gmt":"2023-01-04T14:54:47","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/alan-greenspan-blasts-ftx-downfall-as-purely-fraud\/"},"modified":"2023-01-04T17:54:47","modified_gmt":"2023-01-04T14:54:47","slug":"alan-greenspan-blasts-ftx-downfall-as-purely-fraud","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/alan-greenspan-blasts-ftx-downfall-as-purely-fraud\/","title":{"rendered":"#Alan Greenspan blasts FTX downfall as &#8216;purely fraud&#8217;"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a273920b69a4\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a273920b69a4\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/alan-greenspan-blasts-ftx-downfall-as-purely-fraud\/#%E2%80%9CAlan_Greenspan_blasts_FTX_downfall_as_%E2%80%98purely_fraud%E2%80%9D\" >&#8220;Alan Greenspan blasts FTX downfall as &#8216;purely fraud&#8217;&#8221;<\/a><\/li><\/ul><\/nav><\/div>\n<h1>&#8220;Alan Greenspan blasts FTX downfall as &#8216;purely fraud'&#8221;<\/h1>\n<div>\n<aside class=\"single__inline-module alignleft\">\n        <\/aside>\n<p>Former Federal Reserve Chairman Alan Greenspan dismissed arguments that FTX\u2019s collapse was the result of simple negligence or bad bookkeeping this week, referring to the cryptocurrency site\u2019s downfall as \u201cpurely fraud.\u201d<\/p>\n<p>Greenspan\u2019s remarks cut against the main defense offered so far by disgraced FTX founder Sam Bankman-Fried, who has denied any personal wrongdoing in the shocking bankruptcy despite claims he swindled customers out of billions of dollars.<\/p>\n<p>\u201cBased on the information that has come to light so far, the collapse of FTX was not a result of lax risk management, inadequate accounting procedures, or some feature inherent to crypto \u2014 it was purely fraud,\u201d Greenspan said during a <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/acmwealth.com\/wp-content\/uploads\/2023\/01\/ACM_AG_Article_JAN_-2023.pdf\">year-end interview released<\/a> by Advisors Capital Management on Tuesday.<\/p>\n<p>Bankman-Fried has repeatedly attributed FTX\u2019s collapse to sloppy accounting practices and other mistakes, even as authorities allege he used customer funds to bankroll a lavish lifestyle and prop up risky bets at his cryptocurrency hedge fund, Alameda Research.<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"682\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2023\/01\/FTX-49.jpg?w=1024\" alt=\"Sam Bankman-Fried\" class=\"wp-image-25231317\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2023\/01\/FTX-49.jpg?quality=75&amp;strip=all&amp;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2023\/01\/FTX-49.jpg?quality=75&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2023\/01\/FTX-49.jpg?quality=75&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>Sam Bankman-Fried faces up to 115 years in prison.<\/figcaption><figcaption><span class=\"credit\">Bloomberg via Getty Images<\/span><\/figcaption><\/figure>\n<p>\u201cSBF\u201d pleaded not guilty to eight federal charges, including fraud and conspiracy, during his arraignment in Manhattan on Tuesday. The ex-billionaire is under house arrest at his parents\u2019 home in California. If convicted on all charges, he faces up to 115 years in prison.<\/p>\n<aside class=\"single__inline-module alignright\">\n    <\/aside>\n<p>Greenspan, 96, served as Fed chair from 1987 to 2006. His five-term stint as head of the central bank stretched across four presidencies, beginning with Ronald Reagan and concluding with George W. Bush.<\/p>\n<p>Greenspan expressed skepticism about the value of cryptocurrencies as a whole.<\/p>\n<p>\u201cWith respect to the wider crypto universe \u2014 I view the asset class as too dependent on the \u2018greater fool theory\u2019 to be a desirable investment,\u201d Greenspan said.<\/p>\n<p>In investing, the \u201cgreater fool theory\u201d refers to the concept that an overpriced asset will continue to rise because other \u201cfoolish\u201d investors are willing to pay more to acquire it.<\/p>\n<p>During a TechCrunch event last June, billionaire Bill Gates asserted that the cryptocurrency and NFT markets were \u201c100%\u201d based on the greater fool theory. <\/p>\n<p>Fellow investment luminaries Jamie Dimon, Charlie Munger and Warren Buffett have also been critical of the cryptocurrency sector as a whole.<\/p>\n<p>Greenspan also downplayed concerns that FTX\u2019s bankruptcy would become a \u201ccontagion\u201d event that spread to the wider economy. He noted that past collapses in the housing and tech markets were \u201ccredit-fueled asset bubbles\u201d \u2014 a trend the FTX crisis does not share.<\/p>\n<p>\u201cThere does not <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ear to be a significant amount of leverage dedicated to the cryptocurrency\/NFT space at this time, so I do not expect contagion to spread very far beyond this particular asset class,\u201d Greenspan said.\n                        <\/p><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/nypost.com\/2023\/01\/04\/alan-greenspan-blasts-ftx-downfall-as-purely-fraud\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Alan Greenspan blasts FTX downfall as &#8216;purely fraud&#8217;&#8221; Former Federal Reserve Chairman Alan Greenspan dismissed arguments that FTX\u2019s collapse was the result of simple negligence or bad bookkeeping this week, referring to the cryptocurrency site\u2019s downfall as \u201cpurely fraud.\u201d Greenspan\u2019s remarks cut against the main defense offered so far by disgraced FTX founder Sam Bankman-Fried,&#8230;<\/p>\n","protected":false},"author":1,"featured_media":535055,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2023\/01\/Alan-Greenspan-45.jpg?quality=75&strip=all&w=1024","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[118409,135234,89897,137985,76127,71006,27868],"class_list":["post-535053","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-alan-greenspan","tag-ftx","tag-sam-bankman-fried","tag-1-4-23","tag-cryptocurrency","tag-fraud","tag-legal"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/535053","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=535053"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/535053\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/535055"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=535053"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=535053"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=535053"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}