Chief economist of Lending Tree Bitcoin is called a pyramid scheme
In a new Interview with Yahoo Finance, the chief economist has referred to from Lending Tree, Tendayi Kapfidze Bitcoin (BTC) as the world’s largest pyramid scheme, which solves no real problems.
Tendayi Kapfidze Lending Tree chief economist – to speak together, sat down recently with the media about Bitcoin. During the host, the crypto-currency as an investment, or at least as a speculative Investment brand markets, said Kapfidze that he considers it a “Ponzi scheme” and a “fraud” and claimed that he believes that you can earn in the field of crypto-currency only money, if you take what others throw out there. Kapfidze continued that he believes that this room has no technological developments or applications with inherent value.
Kapfidze joins several other leading economists have referred to Bitcoin as a pyramid scheme. The controversial Economist Nouriel Roubini referred to already several times “as a Ponzi”, and stated that Bitcoin “is not currency”.
Incidentally, it is a Ponzi game and a conduit for criminal/illegal activities. And it is not sure, if you hack it.
Paul Krugman, a Nobel prize winner wrote via Twitter on 03. February 2018:
I’m not sure the only Person who experienced quite a bit of crypto-joy – to see the joy in it, as the bubble of Bitcoin emptied, etc. Bitcoin cultists tend to be both evil and crazy; not all, but certainly above average.
The point is not that bubbles, even though they are actually natural Ponzi phenomena, so clean and all of a sudden be conscious of pyramid schemes. In order to recognize the full joy of crypto-joy, you have to have some patience.
Agustín Carstens, a Mexican economist, the since 1. December 2017 is as General Manager of the Bank for International settlements working, said on 18. February 2018 in the framework of a lecture:
A new technology is not the same as better technology or a better cost-effectiveness. This is clearly the case for Bitcoin: While it might be thought of as an alternative payment system without government involvement, it has become a combination of a bubble, a Ponzi System and of an environmental disaster.
In addition, Bitcoin in the 11 years of its existence, has received many more nicknames – among other things, a “fraud” (by Bill Harris, the founding CEO of PayPal); “rat poison” (by the Vice-Chairman of Berkshire Hathaway, Charlie Munger), and “rat poison in the square” (from the billionaire investor Warren Buffett). However, a recent report by the Bank of America Bitcoin is called as the single best investment of the last decade.
The fact is, regardless of whether or not Bitcoin is a Ponzi or not, it over the years to be very lucrative as an investment, is. In the last ten years, the price of the leading crypto-currency has risen by 9.000.000%, what makes you the best asset of all time, not to mention the fact that BTC has achieved these gains within ten years. Even in the past year, Bitcoin has increased by 85 percent and the stock market three times and other Top asset classes to dozens of percent. This strong performance comes despite a 50% decline that has occurred since the peak of $ 14,000 in June.
In addition, it works as a medium of exchange and as a long-term store of value memory. In many crisis countries around the world, such as Venezuela and Argentina are crypto-currencies, like Bitcoin, are on the rise. Allow you to escape the people by the policy-created Hyperinflation.
Featured Image: Kjetil Kolbjornsrud | Shutterstock
