27 Jan Economist That Predicted the 2008 Financial Crisis is Not a Fan of Bitcoin or Blockchain, Here’s Why
There are a lot of people in the world criticizing Bitcoin (BTC). Others, on the other hand, have fallen madly in love with the digital currency and the technology behind it, deemed blockchain. Regardless, it is important for the world to be aware of what people are saying about the cryptocurrency industry, whether it be positive or negative opinions that are being vocalized.
The latest to join in on the conversation regarding Bitcoin is Nouriel Roubini, who just so happens to be the economist that predicted the financial crisis that occurred in 2008. Before we dive into what the former Clinton administration economist said, let me ask you a question: if someone, who has accurately predicted something in the past, forecasts something about bitcoin, would you be more inclined to believe them? Let me know your answer at the bottom of this article.
What Did Roubini Say?
On Friday, Project Syndicate released an opinion piece, in which Roubini expressed his concern over both cryptocurrency and the mastermind technology behind it, blockchain. To start, Roubini – who has been given the nickname of ‘Mr.Doom’ – said that the potential of blockchain technology has been vastly overplayed. He also added that the idea that cryptocurrency could one day surpass fiat currencies is “utterly idiotic.”
I can’t help but think that the president of finance and risk at Thomas Reuters, David Craig, would be very opposed to Mr.Doom’s latest statement. Why? Because Craig has been quoted as saying that blockchain technology offers changes in the financial industry as it “distributes trust among groups of people who have to work together, and who don’t necessarily trust each other.”
It’s been known for quite some time that Roubini doesn’t like bitcoin. Similar to Nobel Prize-winning economist Joseph Stiglitz, who has come forward repeatedly and criticized the virtual currency. The only difference this time is that Roubini used to limit himself to just attacking bitcoin, but in the Friday opinion piece, Roubini started to attack blockchain, the technology, as mentioned, behind bitcoin.
In short, Roubini believes that, in regards to accessibility, blockchain technology is severely lacking. Plus, he says that blockchain technology only has one application, which is cryptocurrencies. In regards to cryptocurrencies in general, Roubini believes they are precarious.
What do you think? Do you think, because Roubini accurately predicted the 2008 financial crisis, we should believe him about what he has to say about the cryptocurrency industry?
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