Nobel-prize winning economist and famous bitcoin critic Nouriel Roubini, also known as ‘Dr. Doom’, admitted that bitcoin could serve as a store of value in an interview with Yahoo Finance.
In Brief
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Dr. Doom has endorsed bitcoin as a store of value.
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Roubini still believes cryptocurrencies (altcoins) are worthless.
The prominent economist, also known as doctor doom for calling the 2008 financial crash, recognised bitcoin as a ‘partial’ store of value in an interview with Yahoo Finance.
“It may be a partial store of value because unlike thousands others (what I call shit coins) it cannot be so easily debased because there is at least an algorithm that decides how much the supply of bitcoin raises over time.“
He added that most altcoins are literally worse than the US Federal Reserve due to pervasive bad actors in the space. Amazingly, one of the biggest bitcoin critics is now on the side with staunch bitcoiners who often call-out the FED and dodgy altcoins.
Doctor Doom is notably extremely critical of cryptocurrency as an industry. He often described the term ‘cryptocurrency’ as a ‘misnomer’, since it cannot function as a unit of account according to him.
Roubini went on to criticize bitcoin’s lack of scalability, given its five transaction per second (TPS) throughput – which pales in comparison to Visa’s 25,000.
Back in 2013 and all the way up to 2019, Roubini openly ridiculed and criticised bitcoin consistently, so much so that the man became a living meme.
In his view, now that Central Bank Digital Currencies (CBDC’s) are on the horizon, cryptocurrencies will become obsolete.
He said: “Once you have a central bank digital currency, every individual can use an account with a central bank to do payments. So not only you don’t need crypto, you don’t even need Venmo, you don’t even need a bank account, you don’t even need a check”.
While this is not inaccurate, Roubini might be underestimating the new monetary battleground the same way he underestimated bitcoin. Indeed, currency might be entering into a phase wherein private (cryptocurrencies), public (bitcoin) and government (fiat) money are all competing for similar populations.
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