In this episode of Conversations That Matter, hosts Jim Csek and Brittani Stober talk to Scott Dedels from Bitcoin Well to get some perspective on the recent crash of FTX and Alameda Research. Scott is a Kelowna local working for an Edmonton based Bitcoin company.

FTX was the third-largest cryptocurrency exchange in the world, and within 72 hours, it went from a $30 billion valuation to being worth nothing. Dedels explains that it’s one of the largest financial crimes in global history.

“The Bitcoin price is tumbling a little bit with the rest of the assets in the crypto space,” Dedels says.

Csek acknowledges the celebrities connected to FTX, including Tom Brady and Kevin O’Leary, and says financial analysts are labeling this as a ponzi scheme that is dragging down the whole crypto ecoscape.

“All of these companies that are crypto-related companies that have gotten themselves into trouble with Bitcoin are financializing a product that’s not meant to be financialized,” Dedels explains.

“If you’re buying a product through a lender, like FTX, where they’re going to pay you 7% for your Bitcoin, they have to be doing something with that Bitcoin to generate 7% of it.”

Tune in to this episode to hear what Dedels foresees for cryptocurrency.

If you would like to reach out to Scott you can do so at s.dedels@bitcoinwell.com

If you would like to be a guest on Conversations That Matter, send us an email news@NowMediaGroup.ca.