Nobel Economics provides Bitcoin “zero” in ten years

Economist Eugene Fama, winner of the Nobel Prize in Economics in 2013 and considered the “father of modern finances,” said Bitcoin could lose all his value over the next ten years.

In an interview with podcast Capitalisn’tFame argued that cryptocurrencies have no intrinsic value and that their economic sustainability is questionable.

Eugene Fama believes that cryptocurrencies have no real value

Although recognizing the difficulty of financial predictions, the economist pointed out that his analysis is based on economic foundations. He explained that without a central emitter or cash flow generated by productive assets, Bitcoin has no structural support to maintain its appreciation.

The statement occurs at a time when the price of Bitcoin exceeded the $ 100,000 mark, driven by President Donald Trump's favorable policy. Market analysts point out that digital currency can reach $ 150,000 during its term. Others bet on $ 200,000 by the end of this year.

Bitcoin is a bubble, according to an economist

Fama also commented on the possibility of Bitcoin being in a bubble. “I hope so,” he said, adding that although he can't predict when the bubble would burst, he considers the appreciation of cryptocurrency a temporary phenomenon.

I can't predict when it will burst, so I hope it's going to burst, but I can't predict. I hope this will happen because, otherwise we will have to start all over again with monetary theory, said the economy's nobleman.

He criticized the indiscriminate use of the term “bubble” without a clear definition and stated that financial events need to have a predictable end to be categorized in this way.

Nobel admits that it may be wrong, but chances are high

When asked about the likelihood of Bitcoin to reach zero in ten years, Fama said the chances are high, approaching 1 in his estimate. However, he acknowledged that it may be wrong and that his prediction is based on the principles of monetary theory.

The economist's view contrasts with the current reality of the Crypto Market, which already exceeds $ 2 trillion in full value. While investors are still betting on the appreciation of digital currency, Fama forecasts reinforce the debate on Bitcoin's long -term sustainability.

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