Jim Cramer Expects SEC to ‘Do a Roundup’ of Non-Compliant Crypto Firms — Urges Investors to Get Out of Crypto Now – Bitcoin Regulatory News

Mad Money host Jim Cramer says he expects the U.S. Securities and Exchange Commission (SEC) to make a rounds of crypto companies that aren’t compliant with regulation. Expecting the SEC to “wipe it all out,” Cramer urges investors to “get out” of cryptocurrencies now.

Jim Cramer’s latest crypto warnings

The host of CNBC’s Mad Money show, Jim Cramer, is back with more warnings for cryptocurrency investors. Cramer is a former hedge fund manager who co-founded Thestreet.com, a financial news and literacy website.

Following a joint statement on cryptocurrency risks from the Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC), Cramer told CNBC on Wednesday:

I think these statements are the beginning of what I’ve asked for, which is that the SEC will do a summary of all of those [crypto firms] which are not compliant.

Quoting John Stark, who served as an attorney for more than 18 years in the SEC’s Enforcement Division, Cramer pointed out that Stark “is now calling for a sweep.” The Mad Money host pointed out:

He said the SEC is going to blow it all away, which is why I’m telling everyone, get out of these.

“I see a lot of people think, like John Stark, that it’s just a giant scam,” Cramer continued. He added that he expects former FTX CEO Sam Bankman-Fried (SBF) to be material for the SEC’s roundup.

Cramer clarified:

I’m not calling for a cryptocurrency crash. I call for the collapse of the people involved in the Ponzi scheme.

Despite the warning signs, Cramer explained that “people are driving up” cryptocurrency prices. She went on to warn investors to get their money out of cryptocurrencies while they can.

The Mad Money host used to invest in bitcoin, ether, and non-fungible tokens (NFTs), but sold all of his cryptocurrency holdings last year. He advised investors to avoid investing in speculative assets, including cryptocurrencies, as the Federal Reserve continues to tighten the economy. Earlier this month, he advised investors to get out of cryptocurrencies, stressing that it’s never too late to get out of “a horrible position.” He also said that he wouldn’t touch cryptocurrencies in a million years.

As for why the price of bitcoin is so resilient at the $16K high, Cramer said Friday, “Well, I’ll tell you what Stark said. Because it’s fake and a scam. The Mad Money host concluded that cryptocurrency prices “are being buoyed by people who want them buoyed, and that’s all there is.”

What do you think of Jim Cramer’s view on cryptocurrencies? Let us know in the comments section below.

Kevin Helms

An Austrian business student, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests are in Bitcoin security, open-source systems, network effects, and the intersection of economics and cryptography.

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