While many expresses and share their love for Bitcoin and cryptocurrencies, they have attracted criticisms in equal measure. Below are top ten expert criticisms on Bitcoin and other cryptocurrencies. However, if you are looking for the positive opinions in Bitcoin by leading experts, find here.
JP Morgan boss Jamie Dimon
He said in September that cryptocurrency was only fit for drug dealers, murderers and people living in North Korea. Thus, saying that “it is worse than tulip bulbs” and a bubble. Although “could be at $20,000 before this happens but it will eventually blow up”.
The legendary investor, index fund revolutionary and Vanguard founder told attendees in a November Council on Foreign Relations. Since the event that people should “avoid Bitcoin like a plague.”
“Bitcoin has no underlying rate of return. You know bonds have an interest coupon, stocks have earnings and dividends, gold has nothing. There is nothing to support bitcoin except the hope that you will sell it to someone for more than you paid for it.”
The chief executive officer at Erste Group Bank AG is one of Europe’s longest-serving bank chiefs. He said in November that he is not a Bitcoin believer and that central banks are not going to let it make them lose control.
“I’m not” a bitcoin believer. “My kids think I’m really stupid … they could have made a lot of money and I didn’t allow them to invest in it … It’s fascinating but it will make central banks lose control, and they are not going to let this happen. At some point in time, maybe at $20,000, $25,000, $30,000, somebody will say ‘Stop!’”
Former Fortress hedge fund manager said in a CoinDesk bitcoin conference in November that Bitcoin ‘going to be the biggest bubble of our lifetimes by a long shot.’
“To be fair, this is a bubble and there’s a lot of fraud in it. We look at tons of projects. And some get funded, and they literally look like Ponzi’s. There’s a lot of froth and fraud in something that’s exciting like this”.
He, however, said it could hit $40,000 at the end of 2018 during a CNBC’s “Fast Money” session.
CNBC’s Jim Cramer said Bitcoin is a pure gamble during a December “Squawk Box” adding that it sounded like monopoly money.
“If you ever say anything bad about it, there’s like this bitcoin mafia that comes after you. But it is an oddity that has nothing to do with us.”
The respected value investor and co-chairman of Oaktree Capital wrote in an investor letter in July that digital cryptocurrencies are a “pyramid scheme.”
“In my view, digital currencies are nothing but an unfounded fad (or perhaps even a pyramid scheme). It is on a willingness to ascribe value to something that has little or none beyond what people will pay for it”.
He is former stockbroker who has been accusing of market manipulation and fraud crimes in the past. He called Bitcoin a huge scam just a few days ago telling Financial Times that “promoters are perpetuating a massive scam of the highest order on everyone” and although 85 percent of people probably do not have bad intentions, “5 or 10 percent are trying to scam you.”
He is group chief information officer at DBS, one of Asia’s largest banks, and he believes bitcoin is a Ponzi scheme. He said during Singapore Fintech Festival in November that it expensive to trade Bitcoin. And that “all the fees are safe via the crypto-mechanisms.”
Yale University senior fellow and the former Asia chairman and chief economist at investment bank Morgan Stanley, Stephen Roach told CNBC this December that Bitcoin “is a dangerous speculative bubble” because the concept lacks intrinsic underlying economic value and due to the fact that “we are yet to see anybody with Bitcoins in their pockets.”
The self-made millionaire and best-selling author of “Money: Master the Game” said in a CNBC’s “Fast Money” session that investing in Bitcoin is like going to Vegas (bet on what you can afford to lose).
“I think [bitcoin] is very iffy. Since I don’t have a clue. Thus, I look at that as it’s like going to Vegas.”
Note: Coinpedia is a news agency and not criticizing any cryptocurrencies in particular. The information is only to create an awareness and make user updated with the current markets trends.