Nouriel Roubini, the economist renowned for forecasting the global financial crisis, has delivered a scathing critique of cryptocurrencies, which he has labelled ‘The Coming Crypto Apocalypse.’ Roubini’s commentary underscores his longstanding scepticism towards digital currencies, questioning their fundamental utility and stability. He argues these digital assets have no utility, and should not be considered currency.
Roubini asserts that referring to Bitcoin or any cryptocurrency as a genuine currency is misleading. He contends that these digital assets fail to fulfil the essential functions of money, lacking the characteristics of a reliable unit of account, a scalable payment method, or a stable store of value. His remarks reflect a deep-seated concern about the inherent volatility and speculative nature of the crypto market.
Roubini highlights Bitcoin’s recent performance as evidence of its instability, noting its significant decline from its peak in October. He also pointed out the dramatic collapse of memecoins such as $TRUMP and $MELANIA, which have plummeted by 95 per cent. These examples serve to illustrate the high-risk nature of investing in cryptocurrencies and the potential for substantial losses.
Roubini’s analysis serves as a strong warning to investors, urging caution and a critical assessment of the risks associated with cryptocurrencies. His perspective reinforces the debate surrounding the long-term viability and role of digital assets in the global financial system.
