Nevertheless, in the expert’s opinion, Bitcoin is not a currency!
The Bitcoin is not a currency, but it may be a partial reserve of value in the vision of a famous economist who predicted the 2008 crisis. Known as Dr Doom (or Doctor Catastrophe), Nouriel Roubini is famous for his criticism of digital currency.
Although he believes in crises, when it comes to digital coins, Nouriel is conservative. In recent days, he has drawn attention to an interview he gave to Yahoo Finance. On that occasion, the famous economist talked about cryptomorphs.
Recently, Nouriel Roubini attacked DeFi technology saying that „it is a vaporware“. Also called decentralised finance, for Nouriel innovation is nothing lasting.
However, in 2018 Nouriel had said that „Bitcoin was the mother of all blows“. It seems that the economist has made a review of his former unfavourable position.
„Bitcoin is not a currency, but it can be a partial reserve of value,“ Nouriel said.
Doctor Catastrophe attacked Bitcoin again, however, this time at least pointing to an advantage. In 2018, for example, Nouriel called Bitcoin a bubble. At the time, the price of Bitcoin had risen from $20,000 to $3,000.
In addition, Nouriel called the blockchain technology a hypada, according to CNBC. However, now in 2020, amid a new economic crisis, Nouriel Roubini spoke again about Bitcoin.
Asked by Adam Shapiro at Yahoo Finance, Nouriel said that Bitcoin is not a currency. As a currency, Bitcoin should at least have an accounting unit function. That is, in the economist’s view, there are missing items to sell quoted in Bitcoin. At this point, he believes that „cryptomime“ is an inappropriate name for Bitcoin.
In quoting the points, Roubini said that Bitcoin like this would not be a currency. However, the Bitcoin can be a partial reserve of value. This is because, as Bitcoin has a fixed issue limit, which is even lowered over time, the currency’s algorithm ensures that it is not so easily degraded.
The altcoins, on the other hand, Nouriel believe they are all shitcoins and should not be considered. Finally, Roubini said that cryptominoes are neither decentralised nor secure, as they claim. Thus, public cryptomoreds would not be the future of the world, according to Doctor Doom.
If cryptomorphs are not the future, who takes the role?
In stating that the Bitcoin algorithm is better than the American Central Bank (FED) because the issuance of coins is controlled, Nouriel praised the cryptomime. However, for Nouriel the digital coins of the future should be those issued by central banks.
According to him, in the next three years the main countries should issue their own CBDCs. Brazil, for example, will issue the Real digital by 2022, according to Bacen forecasts.
Nouriel also pointed out that China is running to launch its currency, as is Europe. Roubini said that the great revolution would be the currencies of central banks.
Finally, Nouriel argued at Yahoo Finance that the „FED is running out of bullets“. In other words, control of the current crisis should focus on the fiscal side, and no longer on the monetary side. He is famous for predicting the 2008 crisis and follows the new Keynesian school of economics.