Entrepreneur and crypto investor Evan Luthra discusses the downfall of the cryptocurrency exchange platform FTX and the uncertain future of the crypto industry on ‘Cavuto: Coast to Coast.’
Entrepreneur and crypto investor Evan Luthra lost $2 million after being blindsided by FTX.
"I made the wrong decision of trusting somebody like FTX and giving them my bitcoin, giving them my crypto so that they could give me ‘IOUs.’ And then they went under, and they scammed us. So a very big lesson for me, a very big lesson for everybody," Luthra said Thursday during an interview on FOX Business' "Cavuto: Coast-to-Coast."
Even so, the shocking collapse of one of the crypto industry's largest exchange platforms has not discouraged the 27-year-old from catapulting back into the crypto world.
"I've been buying every day since I've had the opportunity. I think this is a great time to buy. The main ethos in the main fundamentals of bitcoin hasn't changed. Why I invest in bitcoin hasn't changed. So for me, there's a great opportunity to buy long term, so I am buying more bitcoin," Luthra said on "Varney & Co.," Wednesday.
Evan Luthra has lost nearly $2 millions since the collapse of FTX ((Photo by OLIVIER DOULIERY / AFP) (Photo by OLIVIER DOULIERY/AFP via Getty Images) / Getty Images)
Despite many investors' hesitancy to re-enter the crypto world, Luthra claims that continuing to invest in bitcoin and the crypto space has made him a "more fundamental" investor.
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"You could have a car manufacturer who cut some corners and then defrauded the industry. Doesn't mean electric vehicles are bad. So it's like bitcoin by itself, the fundamentals are still very strong and if you have bitcoin in your hard wallet, in your hand, you have not lost any money today," Luthra explained Thursday.
Fundamentals of Bitcoin are still ‘very strong’: Crypto investor Evan Luthra
Entrepreneur and crypto investor Evan Luthra discusses the cryptocurrency market following the catastrophic collapse of FTX, which resulted in a $2 million loss for Luthra.
The entrepreneur expanded further on his confidence in the rudimentary foundation of crypto, contending that the collapse of FTX was because of an "individual" that was a "very bad businessman, but very experienced con man."
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"He [Sam Bankman-Fried] has lied at every point about what he has been doing. This is not an overnight failure. This is not a business that didn't work out. This was them defrauding people. This is the FTX going on stage and going publicly and tweeting that funds are safe and secure. They were never secure. They were using it to buy houses," he said.
When questioned on the depth of investigatory measures Luthra conducted prior to investing in the exchange, he said that he was unable to perform a "deep due diligence" of the company.
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"I don't have any auditing records. I could only test on what the market shows. The market made you believe that it's a company you can trust," Luthra explained.
Despite his heavy financial losses in the crypto space, Luthra argued bitcoin is the "best investment out there."