Klarna CEO Sebastian Siemiatkowski thinks the fintech industry will lag behind with the regulations that the FTX collapse will bring.
With the collapse of the cryptocurrency exchange FTX, all the balances in the industry were shaken. As the popular stock market crashed, investment companies took a loss. This earthquake in the crypto market especially affected investors. Investors began to think that the crypto bear market would not end. All these processes highlighted the need for regulations to come quickly. In particular, the SEC and the US Treasury Department have focused on regulating cryptos. Klarna CEO Sebastian Siemiatkowski was troubled by this situation.
Klarna CEO Comments on Fintech
Klarna CEO Sebastian Siemiatkowski is worried that the recent FTX crash will bring about financial adjustments.
Siemiatkowski evaluated the recent events as a very frightening situation. In addition, Siemiatkowski stated that with the coming of the regulations, the Fintech industry cannot compete. According to the CEO, regulations will bring traditional banking and financial products to the fore.
Speaking to Bloomberg, CEO Siemiatkowski;
“We need more competition in the banking sector. We need good consumer protection laws, but that doesn’t stifle competition.”
In addition, the CEO said that as the economic turmoil hits consumer confidence, consumers are increasingly buying cheaper goods.
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