Economists eventually predict Bitcoin:

Eugene Fama, the famous “father of modern financing”, is expected to be bitcoin without a decade ago.

Why? Fama said on the January 30th episode that encrypted currencies “violate all the rules of the exchange method” Capital no. “They do not have a real stable value. As you know, they have a very variable real value. This type of method is supposed to remain for exchange.”

Fama, from Composition The hypothesis of effective markets in the 1960s, in reality it did not guarantee that bitcoin will be of no value. Instead, he agreed when he asked the Podcast host, financial professor Luigi Zigagalis, what is the possibility of this, “within 10 years, will the bitcoin value go to zero?”

“I would like to say that it is close to one,” Fam replied.

“Is it a bubble?”

The interview with FAMA started expressing the rejection of the term “economic bubble” where bubbles need a predictable end. But nothing can be predicted on the market.

Journalist Bethani McLean, who proves the show with Zingales, asked if Bitcoin was a bubble, and FAMA indicated that he hoped to explode.

“I hope that was photographed because, if not, we must start everywhere with a critical theory – it is over,” said Fama. “It may actually disappear.”

“All we thought we know about the critical theory says [cryptocurrency] You should not survive.

He explained that Crypto violates all the rules of the method of exchange as they do not have a stable value and people will not use it as a currency. This feeling, as expected, anger Some in the encryption community.

“What about Stablecoins?”

MCLEAN posed this question to Fama, who said that the use of US dollars on Blockchain “can work”, because dollars have a “stable, real value.”

Another major threat to Bitcoin, which Fama expressed is a 51 % attack. Although such an attack was expensive, FAMA says that every transaction system faces “a problem with verification and the problem of those who impose rules.”

FAMA, who won the Nobel Prize in the economy in 2013, also insists that – unlike Bitcoin – gold is more convenient because it contains many cases of use. The government’s role in the encryption market may accelerate the loss of bitcoin.

It should be noted that FAMA mainly examined the main threat boxes at the surface level of decentralized digital funds, but no of its predictions have been expressed with maximum confidence.

Zigalis said: “His openness to admit that he may be wrong … He is ready to adapt his world at the age of 86.” “I think this is really cool.”

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