FTX CEO Says Fed Interest Rate Hike Main Reason for Market Crash
Bankman-Fried holds the United States Federal Reserve to blame for the crypto market slump. He was speaking to NPR, saying that the main driver of the slump was the Fed and its decision to heavily raise interest rates. Interest rates at 30 year high The CEO did note that the Federal Reserve was in a difficult place trying to combat the worrying inflation rates in the U.S. The Fed recently introduced the largest hike in interest rate in nearly 30 years. All markets have been affected, and Bankman-Fried said that, “Literally, markets are scared. People with money are scared.” He also said that the market crash and the strain of several notable crypto entities, including Terra, Celsius Network, and Three Arrows Capital, could influence crypto regulation. Lawmakers had already been discussing how to regulate the crypto market, and the recent slump will play no small part in their decision-making. The CEO also believes that it is the responsibility of bigger companies to help resolve any issues in the market, “I do feel like we have a responsibility to seriously consider stepping in, even if it is at a loss to ourselves, to stem contagion,” he said. “Even if we weren‘t the ones who caused it,