Input Output (IO) CEO Charles Hoskinson said he would rather be a cryptocurrency expert than a banker right now.
during the performance fox businessHoskinson shared his thoughts on the current banking crisis and the impact of cryptocurrencies on the world.
banking crisis
After a desperate bid overseen by the Federal Deposit Insurance Corporation (FDIC), no buyer was found for First Republic Bank. Its failure is the second largest in US banking history.
On May 1, JP Morgan stepped in to buy selected First Republic assets in a $10.6 billion deal.
Cobesi’s letter Banking monopoly rules prevented JPMorgan from acquiring First Republic Bank, but the FDIC still approved the deal, he said.
Additionally, JP Morgan stands to benefit from the buyout by $2.5 billion — in addition to the FDIC covering First Republic’s losses and providing the company with an additional $50 billion in financing.
“However, the FDIC closed the deal within hours, covering $13 billion in losses.
Meanwhile, the fact that the rule was circumvented was not even discussed. “
With the demise of Signature Bank, Silicon Valley Bank and Silvergate still fresh in our minds, the failure of First Republic Bank has rekindled concerns about the sustainability of the banking model.
Nonetheless, JP Morgan CEO Jamie Dimon He added that the U.S. banking system was “very healthy” and the crisis was nearing an end.
This is a view not shared with the former BitMEX CEO Arthur Hayesposted screenshots of stock performance of multiple US regional banks, stating:Some of these banks will be closed next MondayUnless the Federal Reserve takes drastic action.
“IIt’s Goblin Town!
I got some puts last night. Yahtzee! “
U.S. Crypto Firms Focus on International Markets
Echoing Hayes’ sentiments, Hoskinson says the banking model is fragile and “collapsed”, making “Cryptoland” the perfect place to spend time in the chaos.
“It’s nice to be in Cryptoland where things are simple and pure. We can focus on building.”
Commenting on the tough stance of U.S. authorities, Hoskinson said the global crypto regulatory environment outside the U.S. is improving.
At the same time, he criticized the inconsistent approach taken by U.S. regulators, which he said was right.
“We live in this strange world Schrödinger’s cat. We are alive and dead at the same time. You are both a product and a security. Sometimes currency, sometimes loyalty points. “
Hoskinson acknowledged that U.S. crypto companies will need to focus on foreign markets going forward.
