Former SEC official: Bitcoin spot ETF is a Ponzi scheme

Former enforcement officer of the US Securities and Exchange Commission (SEC), John Reed Stark, posted on social media platform X stating that the only proven use of cryptocurrency is its ability to support crime, money laundering, and other known human vices.

Promoting a bitcoin ETF spot product is another way for financial giants to charge fees for pursuing the product. Bitcoin spot ETFs are a Ponzi scheme and are marketed as a means of providing inclusive finance to those without bank accounts, but in reality, they are a predatory means of providing inclusive finance. The rebound in the current market indicates the general enthusiasm for the product, which is a "carefully planned scam."

John Reed Stark claims to support Better Markets' call for market regulators to reject all applications submitted to date.