Andrew Ross Sorkin’s book on the 1929 financial crash draws striking parallels to today’s market, especially the rise of meme coins like $TRUMP and $MELANIA, which lack intrinsic value yet experience rapid price increases before collapsing. Sorkin suggests that investors aren’t necessarily ignorant; they often believe they can time the market effectively, similar to the speculative behavior of investors during the late 1920s.
The dangers of early investment in pyramid schemes are highlighted, where profits are attainable for initial investors despite the inherent risks. The article expresses concern over a potential future crash that could become worse than 1929.
The author then shifts focus to a podcast featuring Elisa de Andro Madazo and Giles Thomson of the Financial Action Task Force (FATF), discussing the ineffective fight against money laundering in an era dominated by cryptocurrencies, corporate opacity, and increased influence from Chinese money laundering organizations (CMLOs). A recent paper from a British think tank discusses the rise of CMLOs, noting their ability to undercut traditional money launderers by providing services for free due to profits being made in China.
The author argues that restrictions in both China and the West have facilitated the emergence of CMLOs, asserting that drug prohibition has created a cash-rich criminal economy that benefits geopolitical rivals. The piece concludes by reinforcing the necessity for reforms in drug policies to combat the growing power of CMLOs.
