Economist Nouriel Roubini predicts the onset of the crypto apocalypse

In his prediction, the expert referred to the fact that the US financial regulator will receive record funding to oversee the industry

31.03.2023 - 16:15

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Nouriel Roubini is cheering for the demise of the cryptocurrency industry again on Thursday.

In a series of tweets, the "Dr. Doom" economist said a reckoning is coming for digital assets, citing a looming regulatory crackdown on the space.

The famed economist cited recent reports that US Securities and Exchange Commission chairman, Gary Gensler, is seeking more funding to police misconduct in the space.

"Finally the SEC will have the [funding] to go after all the other crypto - and other - crooks," he wrote. "The crypto apocalypse is coming!"

The SEC chair requested a $2.4 billion budget for 2024 as technology is "rapidly transforming our markets and business models" which requires "new tools, expertise, and resources," per a prepared testimony on Thursday. Not all of these funds will go to watching over crypto, however. Gensler cited a myriad of emerging technologies he was watching in areas such as electronic trading and artificial intelligence.

"Further, we've seen the Wild West of the crypto markets, rife with noncompliance, where investors have put hard-earned assets at risk in a highly speculative asset class," the testimony reads. "Such growth and rapid change also means more possibility for wrongdoing."

Gensler added: "As the cop on the beat, we must be able to meet the match of bad actors. Thus, it makes sense for the SEC to grow along with the expansion and increased complexity in the capital markets."

This material is taken from the website https://markets.businessinsider.com.

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