Ethereum co-founder Vitalik Buterin finally Twittered his opinion about the infamous collapse of FTX exchange and said the drama has illustrated once again that the problem lies in people, not technology. In his recent Bloomberg interview, Buterin said that the collapse of FTX contains lessons for the entire crypto ecosystem.

He articulated that the episode emerged from “people, not technology”, so “the underlying stability of distributed ledger and the technology powering the crypto asset economy couldn’t be questioned.”

Buterin also labeled the FTX collapse as a “huge tragedy” but added that it reaffirms the position of many in the Ethereum community concerning centralization:

“That said, many in the Ethereum community also see the situation as a validation of things they believed in all along: centralized anything is by default suspect.” He added that this ethos includes trusting in open and transparent code above humans. Over the weekend, Buterin posted a guide to having a “safe CEX” with proof of insolvency.

In its turn, according to a recent article published by Fortune, last week the U.S. Senate Banking Committee grilled members of the Fed board, SIPC and SEC about how FTX could have scammed billions of customer and investor funds without anybody giving a single warning sign. The hearing caused an escalated finger-pointing and calls for new laws to regulate crypto (this is, in fact, what appears as further most likely scenario, so on top of today’s SEC priority assignment to regulate stablecoins, the agency’s authority may soon be spread around dramatically), Today Securities and Exchange Commission Chairman Gary Gensler is at a crossfire about the FTX debacle, and his relevant comments became highly repercussible and widely cited.

Apparently while anticipating a lot more stringent crypto regulation, Buterin tries to appease the conflicting parties saying “rather than relying solely on fiat methods such as government licenses, auditors, corporate governance, and background investigations of people running exchanges, the exchanges could create “cryptographic proofs that show that the funds they hold on-chain are enough to cover their liabilities to their users.””