Sunday, August 14

“Bitcoin is a scam,” says Nassim Taleb

During a conversation with Andrew Ross Sorkin from CNBC’s Squawk Box show, Nassim Taleb again criticized Bitcoin, calling it a scam and claiming that digital currency is not decentralized.

Taleb is a renowned investment book writer and has even written a preface to a book about Bitcoin, defending the ideas of currency and even considering it better than gold in terms of freedom.

His change of mind occurred a short time ago when he complained about the fact that “a currency cannot be more volatile than the product to be bought/sold with it”, besides believing that the BTC failed as a protection after the pandemic, even with the currency growing about 10 times in this period.

Inflation protection?

The presenter began his question by talking about Taleb’s predictions of spiraling inflation and massive spending in the near future, and then questioned why he is so discredited in cryptocurrencies, particularly in Bitcoin, which is now seen as the main asset to protect against inflation. .

In his response, Taleb stated that cryptocurrencies are a fraud and that they do not serve as protection for anything, in addition to asserting that Bitcoin is not decentralized as he had previously said.

“I’m in the Hedge business and Cryptocurrencies are not protection against anything, they are not protection against inflation, stock market crash, nothing. For me it’s like a big blow.”

Taleb, who once defended Bitcoin, has recently become an enemy of the biggest cryptocurrency and has since been talking incessantly that the currency is a scam, a Ponzi scheme, and that it is no protection against anything.

I liked it so much

Author of several investment-oriented books, such as “Black Swan” and “Antifragile”, Taleb has also written the preface to the book Padrão Bitcoin by author Saifedean Ammous, in which he wrote:

“That’s why Bitcoin is such a great idea. It meets the needs of the complex system, not because it is a cryptocurrency, but precisely because it has no owner, no authority that can decide its fate. It is owned by the crowd, by its users. And now it has a track record of several years, enough to be an animal in its own right.”, Nassim Taleb in preface to the book Bitcoin Pattern.

Taleb’s shift in positioning is quite rare and curious, generally what we witness is an opposite stance in which Bitcoin critics start liking the cryptocurrency after understanding it, making it difficult to find bitcoiners who have turned to fiat coins.

Although Taleb appears to be firmly in his current position, there is nothing to stop him from changing his mind again and returning to being a Bitcoin supporter. After all, in a tweet from earlier this year, although he said Bitcoin had failed, he added an “at least for now”.