Pantera CEO on the FTX collapse: Blockchain didn’t fail

Blockchain

With the FTX trade being highlighted all around the world of finance, belief within the crypto area appears to dwindle. Nonetheless, Pantera Capital CEO Dan Morehead believes that there are two areas in crypto that really work.

In response to the chief, narratives that query blockchain and name it a failure due to the FTX collapse are improper. The Pantera CEO argued that there are a number of issues in crypto that work, comparable to regulated exchanges and decentralized exchanges.

“In case you can’t belief FTX who are you able to belief?!”

The 2-pronged reply is:

Regulated exchanges work nice e.g. @coinbase, @Bitstamp

DeFi works nice, particularly DEXs e.g. @Uniswap, @Balancer, @BreederDodo

Enterprise is transferring again to protected entities.

Extra: https://t.co/Ph0i9IuS9h pic.twitter.com/9E1v1fs0gO

— Dan Morehead (@dan_pantera) December 20, 2022

In a letter to traders, Morehead highlighted that whereas crypto detractors and skeptical regulators need are purporting the necessity for a unique method in blockchain buying and selling, the answer is straightforward. He wrote:

“There are exchanges like Coinbase, Kraken, and Bitstamp that, when a consumer sends cash to them, they only put it in a financial institution. The answer is fairly simple.”

Aside from regulated exchanges, Morehead additionally believes that the decentralized finance area additionally labored properly. Particularly, the Pantera CEO pointed towards decentralized exchanges like Uniswap, 0x, 1inch, Balancer and Dodo.

In response to Morehead, enterprise within the blockchain area is transferring again to protected entities like such. The manager argued that FTX had nothing to do with blockchain’s promise, highlighting that blockchain did not fail.

Associated: What blockchain evaluation can and might’t do to search out FTX’s lacking funds: Blockchain.com CEO

With the FTX collapse grabbing the eye of regulators across the globe, investing platform Superhero canceled its merger with the crypto trade Swyftx. In a letter to its customers, Superhero mentioned that due to the present atmosphere, the agency will unwind the merger and transfer on as separate corporations.

In the meantime, the previous FTX CEO Sam Bankman-Fried has signed extradition papers and will likely be flown to america as he faces legal fees. The previous FTX CEO will face fees referring to wire fraud, conspiracy to commit cash laundering, marketing campaign finance violations and conspiracy to commit wire, commodities and securities fraud.