Roubini is still attacking Cryptocurrencies

Cryptocurrencies have had rivals from the very second they appeared on the market. Those rivals now have doubled or maybe tripled in numbers calling these trading assets unreliable or too dangerous to trade. Cryptocurrencies have already proven multiple times that they are a reliable trading asset, they have encouraged numerous young generation traders to get themselves familiar with the trading world. In all cryptocurrencies have been nothing but an asset to the wallets of many people and to the transaction fees and speeds for many.

One of the most notorious people who are against the development of cryptocurrencies into a stronger trading asset is a man named Nouriel Roubini. Roubini has always been a vocal opposer of the adaptation of cryptocurrencies on a decentralized level. In his words, the blockchain technology is not reliable and is only strengthened by popularity and not a real commodity.

Who is Roubini

Nouriel Roubini was born in Turkey and moved to the United States where he finished Harvard University with a degree in International Economics. His advice has been heeded in numerous high authority institutions including, The US Federal Treasury, The Bank of Israel and the Federal Reserve. What’s most important about this man is that he is a very good economist. He has been around long enough to be able to predict pretty much all of the outcomes in the market, however it looks like he has met his match with cryptocurrencies.

Roubini became very popular when he predicted the 2008 market crash, stating 2 years before it that home prices were under so much speculation that in a matter of years the market would have to face a lot of consequences for its inadequacy to handle the situation. This was not the only shining moment for Roubini, he also earned the nickname of Dr.Doom when he announced that Italy, Spain, Portugal, and Greece would leave the Eurozone.

Decentralization was the primary argument in Roubini’s speech at the MIGC (Milken Institute Global Conference) in May when he disregarded the benefits and good applications of decentralized and useful cryptocurrencies. In his belief all of the decentralized industries that were hit by the same applications turned into pyramid schemes, being nothing but a bother.

Roubini’s arguments

As we’ve already established, Roubini is not a big fan of cryptocurrencies, but he is not just a blind hater, he has analyzed everything in his mind and now offers his analysis in the form of a 37-page statement. In this analysis, he states several key points on why the cryptocurrency bubble is soon to explode. Here are the statements:

  1. Roubini’s believes that Fiat currencies hold a lot more value because of their inclusion in the tax system, with this he disregards the usefulness of cryptocurrencies in every-day life.
  2. He calls Stablecoins a large scam.
  3. The security, decentralization, and scalability are very hard to have at the same time, actually, he deems it as an impossible scenario.
  4. Bitcoin’s limit of 21 million will be its downfall, because of the susceptibility to deflation.
  5. Blockchain is not the core of the popularity of cryptocurrencies, the main attraction is Data science and artificial intelligence.