CNBC host and cryptocurrency skeptic Jim Cramers says he believes cryptocurrencies are a “con” in his appearance on CNBC’s Squawk Box. Referring to the current state of the crypto economy, Cramer said, “The whole thing seems bottomless…It’s just a giant con.”
He did, however, defend blockchain technology, stating that “blockchain is great,” adding that people keep comparing blockchain with the “con” that is cryptocurrencies. He also thrashed XRP and Solana, stating that those are cons as well, stating that CNBC shouldn’t be following and analyzing these assets.
Cramer also defended his stance towards cryptocurrencies, stating, “I’m busy trying to find how to make money for people, and I don’t want to try to figure out how to lose money for people.”
Cramers says no to crypto
In his prior remarks, the CNBC expert urged investors to liquidate their cryptocurrency holdings following the collapse of the FTX cryptocurrency exchange. He particularly suggested that XRP, the smart contract platform Cardano (ADA), the meme token Dogecoin (DOGE), and the blockchain scaling solution Polygon (MATIC) all might collapse in price further, potentially all the way to zero.
“You can’t just beat yourself up and say, ‘hey, it’s too late to sell.’ The truth is, it’s never too late to sell an awful position, and that’s what you have if you own these so-called digital assets,” the analyst said.
Cramer also stressed that investors should not be fooled by some coins’ inflated market capitalization, questioning the credibility of the popular stablecoin tether, asking how the stablecoin continues to hold a $65 billion market cap.
There’s still a whole industry of crypto boosters trying desperately to keep all of these things up in the air — not too different from what happened with bad stocks during the dotcom collapse.
However, prominent figures in the crypto industry have learned to disregard Cramer’s projections and use them as a counter-indicator. Because of this, many people have taken to Twitter to express their belief that Cramer’s comment indicates the market has hit bottom.
BREAKING: Jim Cramer urges investors to sell their crypto— Mario Nawfal (@MarioNawfal) December 6, 2022
Finally!! Now I'm bullish!