Satoshi Nakamoto had brought cryptocurrencies in the trade market for the first time in 2009. People were not aware of cryptos like Bitcoin Loophole back then. But with each passing year, it has successfully managed to get a vital position in the trade market at present. Hence, getting to know about such financial sectors is one of the most important things which you should be peeking into. Bitcoin has been around for ten years and has seen its ups and downs. If you are wondering if it is a good investment, here’s what some of the biggest names in finance have to say about it.
Nassim Nicholas Taleb
In his book Skin in the Game, Hidden Asymmetries in Daily Life, Taleb, who popularized the term “black swan,” argues that Bitcoin is a bubble and is only valuable to people buying and selling it. He says the price of Bitcoin isn’t based on anything concrete like gold or silver. Instead, it relies on people’s willingness to use the currency without real value.
Regarding Ponzi schemes, Taleb thinks that Bitcoin can be compared with Charles Ponzi’s scheme because both are based on speculation rather than tangible assets or products. He says, “It doesn’t matter if [Bitcoin] goes up or down.”
You may have heard of Warren Buffett, the famous investor who has been very critical of Bitcoin. He calls it a bubble saying that Bitcoin is not money.
What else does he say?
He says Bitcoin is not a good investment because it doesn’t produce anything, like gold or silver.
Munger has criticized Bitcoin and other cryptocurrencies for quite some time. In 2018, Munger said he’d be “dead wrong if I were to say there’s no hope for Bitcoin at all.” While he didn’t make any predictions about its future price or viability as an investment vehicle, he did acknowledge that there might be room for cryptocurrency to become a valuable part of the global economy.
“I think it’s doubtful, but you can’t be sure,” he said during an interview on CNBC’s Squawk Box. “If it does get significant traction somewhere, then who knows? It could take off like wildfire.”
Nouriel Roubini, a professor at NYU and well-known critic of Bitcoin, has been predicting the downfall of Bitcoin for years now. Roubini believes cryptocurrencies are not real currencies but assets with no intrinsic value. He believes that they’re more closely related to gold than actual currencies. He thinks this is because many cryptocurrencies have no central authority or backing from any government, making them volatile and vulnerable to hacking attacks.
Roubini also says that cryptocurrency users are mostly criminals who want to avoid authorities in their own countries by moving their money offshore. This is especially true since most cryptocurrencies can be used anonymously (so long as you don’t use an exchange that requires identification).
Peter Schiff is a famous American investor and financial analyst. He has been a vocal critic of Bitcoin, saying it’s a bubble that will eventually crash.
“If you want to get rich quick,” he added, “you’re not going to do it by buying something like bitcoin.”
Many experts have different opinions about Bitcoin
If you’re looking for a definitive answer about how to invest in Bitcoin, the experts won’t give it to you.
And even if someone could, they wouldn’t share their secrets with you anyway! All you can do is invest in good coins or apps like ekrona-app.com to predict the probability of getting hit and do your trial and error and inspect.
There’s nothing wrong with desiring more information on crypto or other financial topics. When someone claims to be an expert in this field, especially when anticipating pricing, they usually try to sell you something. If someone has worked in finance and shared their knowledge through podcasts or books, pay attention; otherwise, don’t take what they say at face value just because they claim to be an expert (or any other subject matter).
The bottom line is that experts’ opinions about Bitcoin are all over the map. Some say it’s a bubble; others think it could be the next big thing. But just like any investment, it’s up to you to do your research and decide what makes sense for your situation—and remember that even some of the most famous investors have lost money on their bad bets!