A lot of investors and enthusiasts are looking forward to seeing Bitcoin breaking new records, despite struggling a bit for the past months. On the other side, Harvard professor and economist Kenneth Rogoff believes that in a decade, the world’s most popular cryptocurrency will be worth less than $100.
Mr. Rogoff, who is also a former chief economist of the International Monetary fund, declared that Bitcoin’s “actual uses as a transaction vehicle are very small”, according to Fortune. Obviously, he was comparing this with the coin’s utility for money-laundering and tax evasion, some of the main aspects which regulators are trying to suppress.
A very pessimistic view
“I think Bitcoin will be worth a tiny fraction of what it is now if we’re headed out 10 years from now,” he added. “I would see $100 as being a lot more likely than $100,000.”
Of course, let’s mention one important aspect: Kenneth Rogoff doesn’t hold any coins, so it’s obvious that his opinions are significantly different from those of the members of the cryptocurrency communities. They believe that it won’t be long until Bitcoin will break a new record, surpassing $20,000.
It’s not the first time the professor and economist issues a statement. Back in October, when Bitcoin was on a constant rise, Rogoff said that an eventual regulation would make the bubble burst and the coin would stop growing.
Should governments pay more attention to cryptocurrency?
“It is one thing for governments to allow small anonymous transactions with virtual currencies; indeed, this would be desirable,” he wrote at the time. “But it is an entirely different matter for governments to allow large-scale anonymous payments, which would make it extremely difficult to collect taxes or counter criminal activity.”
By the end of December 2017, Bitcoin reached its all-time high, but 2018 started with a series of successive crashes, caused by potential regulatory crackdowns on Asian markets. In the meantime, the coin managed to recover some territory, but it’s still fluctuation a lot, currently trading at almost $11,000, while the total market cap is a bit over $181 billion.