Report Says FTX Failure Impacts Miami Nightclub As They Lose “Crypto Nerds”.
FTX’s collapse has spilled over beyond the Web3 and crypto ecosystem. According to the Financial Times, the collapse has negatively affected nightclubs in Miami.
Crypto entrepreneurs who used to flood Miami nightclubs with cash, ordering bathtubs of champagne and singing are no longer seen there, according to South Florida venue owners.
Completely vanished from nightlife
Nightclub owners, young, said nerdy crypto bros have completely disappeared from the nightlife scene. They used to lavishly spend on champagne showers and purchase $50,000 tables at nightclubs.
“They were ordering 12 or 24 bottles of the most expensive champagne and just showering themselves without even drinking,” said Andrea Vimercati, the director of food and beverage at Moxy Hotel group.
Miami saw a wave of young men awash with money flaunt their newly acquired wealth during last year’s crypto boom, according to Vimercati.
“Out of the blue, all these kids from crypto started coming down and spending a lot of money — like, an insane amount of money. “They were booking tables for $50,000, and it was like, ‘Who the hell are these people’?,” he said.
The unexpected collapse of FTX
The fall of FTX has caused huge losses for millions of investors who believed their money was secure. Twitter, Reddit, and Instagram have been flooded with people seeking advice on how to recover their money after losing thousands in the collapse.
“Honestly, when I heard about it, I laughed,” said Thomas*, a 40-year-old software developer residing in the East of England, told inews.
After investing in crypto for years and losing £8,500 in the FTX collapse, he says he knew that it was risky but still made regular deposits into his FTX account and invested elsewhere.
Thomas said losing that much money can have a profound effect on some people. “I have had friends call me or come to me while contemplating suicide.”
The losers are not just billionaires, crypto founders, or celebrities who invested money into this company. It is millions of ordinary people whose livelihoods have become entwined with it.