Financial expert: „Bitcoin investors are covidiots with the understanding of a single-celled organism“.
In recent days, Bitcoin (BTC) has also created a lot of buzz in the media, as after carmaker Tesla made a massive US$1.5 billion investment in the Bitcoin Era review cryptocurrency, its price abruptly swung up towards US$50,000. However, Nassim Nicholas Taleb, a former risk analyst and financial expert, does not share this optimism.
„I’m selling my bitcoin again,“ as Taleb wrote in a tweet yesterday because of this. BNN Bloomberg also reports on the book author’s criticism, arguing that „a currency should not fluctuate in value more violently than the goods you buy and sell with it“. He cynically adds:
„You can’t map goods prices into BTC. So in that respect it has failed (at least as of now). Bitcoin has now been hijacked by covidiots who have the understanding of a single-celled entity.“
Bitcoin was originally designed
Taleb’s argument is based on Bitcoin’s function as a currency or means of payment, which he says it does not have. While many crypto experts concede this, they do attest to the market-leading cryptocurrency’s function as a store of value. Some crypto industry leaders, such as Roger Ver, who is a proven advocate of the Bitcoin offshoot Bitcoin Cash (BCH), support Taleb’s reading by maintaining that Bitcoin was originally designed as a means of payment.
The notorious critic Peter Schiff also keeps firing against Bitcoin for similar reasons, although even large mainstream companies are now investing in the leading cryptocurrency.
For example, Michael Saylor, CEO of the large software manufacturer MicroStrategy, is fully convinced that Bitcoin is suitable as a store of value, which is why he and his company are one of the pioneers for investments in the cryptocurrency.