U.S. Treasury Secretary Janet Yellen said the implosion of Sam Bankman-Fried’s FTX crypto empire reinforced her view that the market for digital assets required “very careful regulation.”
“It shows the weaknesses of this entire sector,” Yellen said Saturday in an interview with Bloomberg News.
An interconnected assortment of digital-asset entities founded by Bankman-Fried filed for Chapter 11 bankruptcy protection Friday. The upheavals at FTX have rattled a crypto market already beset by months of price declines. A court will now weigh in on how to handle the interests of customers, creditors and business partners seeking to be made whole.
