John Reed Stark, former head of the U.S. Securities and Exchange Commission Enforcement Office, said Wednesday that the NFT of Jack Dorsey’s first Tweet is now worthless or essentially worthless. He argues that the NFT marketplace is completely manipulated or controlled by deceptive ways and the smart contracts are incapable of total security and ownership.
John Reed Stark criticizes NFT Marketplace
John Reed Stark has spoken out against crypto exchanges, executives and the NFT space. In a new tweet on July 20, he urged people to stay away from non-fungible tokens as this is an investment scam. He believes that buying an “NFT for fun or as a photo for your Instagram or Twitter, whatever” but as an investment is completely useless.
He calls the NFT of Jack Dorsey’s first Tweet “worthless.” Moreover, he added that a Bored Ape with funny glasses and a colorful hat and the NFT of a Tweet are not good investments that fulfill a financial dream. The NFT market is completely manipulated without any scrutiny.
“While NFTs are considered to be fully decentralized, in most cases there is no cryptographic relationship between the image referenced by an NFT and its associated token. The image can easily be changed or replaced if people with access to servers change the filenames.”
The NFT market has duped investors billions of dollars after the NFT bubble burst during the crypto winter. Celebrities have long been caught up in the world of cryptocurrencies, NFTs and other digital assets. Stark celebrities like Paris Hilton, Jimmy Fallo, and Kim Kardashian blatantly took advantage of their own fans by blatantly handing out crypto and these nonsensical fractionalized JPEG links.
Stark On Binance And Coinbase Lawsuit
John Reed Stark sides with the US SEC to allege Binance and Coinbase violated multiple federal and state securities laws. He believes the SEC will win the lawsuits against Binance and Coinbase and prevent them from harming investors.
The Torres Doctrine contained in the US SEC v Ripple Labs lawsuit weakened the SEC’s claim that most digital assets are securities and violate securities laws.
Also Read:Terra and Do Kwon Dismiss US SEC Lawsuit Citing XRP Ruling as Precedent
