Crypto market has experienced an 'education by fire,' says Loomdart

Crypto Ecosystems • December 7, 2022, 5:00AM EST

UPDATED: December 7, 2022, 9:26AM EST

Episode 122 of Season 4 of The Scoop was recorded remotely with The Block's Frank Chaparro and Larry Cermak, and Loomdart, co-founder of eGirl Capital.

Listen below, and subscribe to The Scoop on Apple, Spotify, Google Podcasts, Stitcher or wherever you listen to podcasts. Or click here to watch the full interview on YouTube. Email feedback and revision requests can be sent to [email protected].

In this month's 'Market Pulse' episode of The Scoop, The Block Vice President of Research Larry Cermak and Loomdart, a founding member of crypto-native venture firm eGirl Capital, reflect on FTX’s collapse and speculate on what comes next for the crypto industry.

According to Cermak, former FTX CEO Sam Bankman-Fried (SBF) is remaining in the Bahamas to stay engaged with local regulators:

“Sam still has connections in the Bahamas and the government is still standing by him … He just made them look terrible, so they kind of have to go in this direction”

During a recent interview, SBF confirmed he is still living in the Bahamas, although he is not communicating with FTX’s new CEO John Ray.

While FTX's collapse pushed crypto prices to new yearly lows, Loomdart says it is ultimately better for the long-term health of the industry:

“Crypto is such an open and free ecosystem to where if we don't have this type of education by fire it just keeps getting worse… If FTX didn't blow up now and they managed to keep going — I don’t think that hole was going to shrink.”

During this episode, Chaparro, Cermak, and Loomdart also discuss:

Why the jurisdiction of FTX’s bankruptcy matters
How crypto OGs got taken out during this cycle
Loomdart’s tips for surviving bear markets

This episode is brought to you by our sponsors Tron, Ledn
About Tron
TRON is dedicated to accelerating the decentralization of the internet via blockchain technology and decentralized applications (dApps). Founded in September 2017 by H.E. Justin Sun, the TRON network has continued to deliver impressive achievements since MainNet launch in May 2018. July 2018 also marked the ecosystem integration of BitTorrent, a pioneer in decentralized web3 services boasting over 100 million monthly active users. The TRON network completed full decentralization in December 2021 and is now a community-governed DAO. | TRONDAO | Twitter | Discord |

About Ledn
Ledn was founded on the unshakeable conviction that digital assets have the power to democratize access to the global economy. We help you to experience the real life benefits of your Bitcoin without having to sell it. Start a savings account, take out a loan, or double your Bitcoin. For more information visit Ledn.io

About Authors

Davis Quinton is the Director of Podcasts at The Block and runs our flagship podcast called The Scoop, hosted by Frank Chaparro. Since joining The Block as an 'intern' in early 2022, he has worked closely with leaders across departments to translate The Block's written content into engaging multimedia formats. He holds a degree in Social Research & Public Policy from New York University in Abu Dhabi and is based in Sydney, Australia.

Frank Chaparro is Host of The Scoop podcast and Director of Special Projects. He also writes a biweekly newsletter. Chaparro started his career at Business Insider, where he specialized in the intersection of digital assets and Wall Street, market structure, and financial technology. Soon after joining Business Insider out of Fordham University, Chaparro was interviewing top finance and tech executives, including billionaire Mark Cuban, “Flash Boys” star Brad Katsuyama, Cboe Global Markets CEO Ed Tilly, and New York Stock Exchange President Tom Farley. In 2018, he become a sought after reporter in the crypto world, interviewing luminaries such as Tyler Winklevoss, the cofounder of Gemini, Jeremy Allaire, the CEO of Circle, and Fundstrat head Tom Lee. For inquiries or tips, email [email protected].