Jim Kramer, the host of the television program “Mad money,” says that he has sold all his bitcoin holdings, with an indication of the variety of problems associated with the cryptocurrency.
A former Goldman Sachs trader told Squawk on the street that China’s tightening stance on cryptocurrencies as well as the potential U.S. sanctions mean that the investment is not worth the effort.
‘I Sold All Of My Bitcoin’
“I sold my bitcoin,” Kramer said this week. “Don’t no need.”
Bitcoin is down more than 50% of the all-time high of 65,000 USD ($A86,000 in April. Cramer said that he was not expecting it to return to these levels.
“I have to say that this will not happen, due to structural reasons,” he said.
While the former trader could not reveal how many BTCs he’s had in his wallet, however he told the audience that he bought the digital currency when it was worth US $ 12,000 ($16,000), which is what Bitcoin was trading in 2019. He said he used the gains in his Bitcoin holdings to pay off his mortgage.
Crackdown On Cryptocurrencies In China
Bitcoin’s worth reduced to less than $US30,000 ($A40, 000) for the first time since January. However, there is still, however, it has been able to stabilise at around $34,000 ($45,000).
Kramer said that the Chinese interference and crackdown on cryptocurrencies will grow in.
“When the PCR goes after something, they tend to have their way,” he said. “It’s not a democracy. It’s a dictatorship.”
“I think that they believe it’s a direct threat to the regime because what it is, is a system that’s outside their control,” he said.
Regulations In The US
The TV Host has also pointed to the possible regulation in the United States as it suffered ransomware attacks.
“In our country, I think it’s outside of our control when it comes to ransomware, and I doubt that Colonial is the first company to pay ransomware,” Cramer said. “I think the Justice Department and the FBI and the Federal Reserve and Treasury could coalesce and say, ‘OK guys, if you pay ransomware, we’re going to go after you.’”
This comes after the billionaire investor Mark Cuban said he was hit by investing in the Titan cryptocurrency, which has decreased from $60 to $0 in the day.
