Bitcoin “Maybe it’s a partial reserve of value,” Grant Nouriel Roubini

Economist Nouriel Roubini, also known as “Dr. Doom” for his prediction of the financial crisis of 2007-2008 and his criticism of cryptocurrencies, has admitted that Bitcoin (BTC) is “a partial reserve of value.”

Roubini made the concession during a panel with high-profile figures from the crypto industry such as Brock Pierce, Bobby Lee and Tone Vays during the CC Forum 2019 conference in London on October 16.

“Maybe Bitcoin is a partial reserve of value”

As Tone Vays suggested in a tweet on October 17, Roubini’s admission possibly represents “small steps” forward in his stance towards cryptocurrencies, despite the fact that Roubini quickly followed his comment with several criticisms:

“Maybe Bitcoin is a partial reserve of value but it is not a unit of account, it is not a means of payment, it is not scalable […] despite its recovery earlier this year, it has lost 60% of its value from its peak, so I don’t see it going anywhere, frankly. ”

“I would take the US dollar above any of its m *** currencies,” he told BTCC founder Bobby Lee, arguing that financial innovation, although imminent, would come instead from AI implementations, major technology data and IO in the cutting-edge technology space.

Roubini said that, as a financial crisis analyst, “he is not a defender of the traditional financial system.” However, he strongly argued that central bank responses to 2008, such as coordinated monetary policy and the fact that the Federal Reserve assumed the role of “lender of last resort,” had worked and prevented the Great Recession from becoming in “a Great Depression 2.0”.

Tokenization is a return to the “Stone Age”

Roubini also argued that the tokenization of assets, as proposed by some blockchain advocates, would return us to a “Stone Age of bartering,” since it would inhibit a measure of the relative price of goods:

“‘ Even the Flintstones had a more sophisticated value system than the crypts. “

The bleak evaluation of the cryptocurrency economist coincided with his markedly pessimistic view of the macroeconomic landscape, in which he emphasized the risks of a cold trade war between the United States and China, which would cause a balkanization and a deglobalization of the world economy, a Possible hard Brexit that would trigger a recession in the eurozone and a possible rise in oil prices due to rising geopolitical tensions in the Middle East.

More generally, he said, we are seeing something like a “populist reaction” against frictionless trade, migration, and even against technology as it becomes increasingly capital intensive and labor saving.

During the panel, Roubini reiterated many of his well-known comments about cryptocurrencies, such as that international governments will categorically crush any value transfer system that is truly anonymous, and that decentralization in the cryptos is a myth.


Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.

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