alliance Chief economic adviser and well-known economist Mohamed El Erian believes the whole FTX saga is unbelievable and that only part of it has come to light so far.
“This whole story is already unbelievable – and I suspect only part of the drama has come to light so far. Will definitely be the subject of someone’s book. The broader questions relate to the scope of the contagion and the regulatory implications,” he tweeted.
This whole story is already unbelievable – and I suspect only part of the drama has come to light so far. Will definitely be the subject of someone’s book
The broader questions relate to the scope of the contagion and the regulatory implications.
— Mohamed A. El-Erian (@elerianm) November 9, 2022
Also read: Short sale brokers
crypto giant binance signed a non-binding purchase agreement on Tuesday FTX‘s non-US unit to overcome a Liquidity bottleneck on the competitor exchange. The cryptocurrency’s total market cap fell on Tuesday after Binance sold its position FTX Token FTT/USD. FTT’s price fell significantly, leading to declines in many of the top cryptocurrencies such as Bitcoin BTC/USD and ether ETH/USD.
In June El-Erian said Yahoo Finance that crypto is in “Round 1” of its development, which is characterized by overproduction and overconsumption. “We saw a lot of people coming who didn’t quite understand what this crypto space really is. They just saw prices go up and thought they were going forever, so we had massive speculative demand,” El-Erian had said, according to the report.
For the midterm elections: The well-known economist also explained in his tweet how the length and depth of a possible recession would greatly affect the next election two years from now.
“The conventional wisdom is understandably that after today’s #midterms, the consensus forecast of America’s ‘gridlock’ will keep the government out of the way of the markets. But the economic context calls…
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