While everyone is seeing a future in bitcoin as the new digital gold, “Dr. Doom” Nouriel Roubini foresees an end to digital assets. Roubini believes that incoming U.S. president Joe Biden will go harder on digital assets than Donald Trump has done.
In a tweet responding to Jake Chervinsky, Roubini called the crypto industry a “cesspool.” While Chervinsky was analyzing the recent news of U.S. lawmakers demanding for on-chain Anti-Money Laundering and Know-Your-Customer identification on stablecoin payments, Roubini was quick to call him “delusional.”
This does not come as a surprise. Roubini has always expressed his dislike for cryptocurrencies. Earlier in November, he opined that Bitcoin and altcoins (‘shitcoins’ as he likes to call them) were a Bubble in a series of tweets. He said:
Bitcoin has no role in institutional or retail investors’ portfolios. It is not a currency: not a unit of account, not a scalable means of payment & is a highly volatile store of value. It is heavily manipulated: look at the investigation of Bitfinex by US law enforcement.
But despite his claims, institutional investors are still flocking to buy Bitcoin and Ethereum. Grayscale recently exceeded $16 billion in crypto assets under management.
Whilst it is true that government bans could have an impact on the success of Bitcoin, as recently seen in the SEC’s lawsuit against Ripple, the fact widely remains that the industry is evolving and big money is coming in.