Last Week Tonight host John Oliver has criticized the cryptocurrency sector extensively in his latest episode.
After analyzing cryptocurrencies on his show five years ago, Oliver revisited the industry in light of the high-profile failures of several crypto firms.
He looked at the collapse of three companies – cryptocurrency Terra, lender Celsius and exchange FTX. He explained in detail how the companies started and what led to their demise.
Oliver mocked all three businesses and their executives. He eventually concluded all three were similar to Ponzi schemes aiming to steal money from the people that trusted them.
Oliver offered a reminder that crypto coins have value to the extent that people believe they have value, which often comes down to one’s confidence in the person or group who made the coin.
He also highlighted that the total market value of all cryptocurrencies fell from about $3tn to $1tn between late 2021 and June 2022.
Oliver noted that one in five Americans has invested in, traded, or used cryptocurrency and plenty have had their savings wiped out in various meltdowns.
The comedian said: “The throughline in all three companies I've talked about tonight is them confidently presenting a veneer of expertise, even as beneath the surface they were a complete shitshow. And it says something that even as they imploded, all three of the men behind them were still trying to bluster their way out of it.”
Oliver further criticized the demands for regulation of the cryptocurrency market. He suggested that implementing actual legislation and involving banks in the crypto industry would increase trust in a sector that is akin to gambling.
At the end of the episode, Oliver said: “We should recognize that right now, the main thing you can really do with crypto is gamble with more crypto. This is all still a casino.”
Oliver’s comments follow the co-creator of Dogecoin Billy Markus warning that investing in cryptocurrencies is “investing in mental illness”.
Warren Buffett also made similar comments recently. He compared Bitcoin (BTC) to gambling and stated that it does not have any intrinsic value, reigniting the debate about the value and future of BTC and other cryptocurrencies.
Looking for your next crypto casino? Check out: Bitcasino or FortuneJack.