Nobel Laureate Says Bitcoin Expected to Collapse, But Could Still Last 100 Years

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For Nobel-prize winning economist named Robert Shiller, bitcoin continues to plummet and is expected to face a grimmer future. He believes that one day, the cryptocurrency will either implode or drag on. That its future can soon be likened to the tulip craze of the 17th century.

Shiller was quoted saying,

It has no value at all unless there is some common consensus that it has value.

The Yale professor and 2013 Nobel laureate in economics says that he has no idea “what to make of bitcoin ultimately.” He even compared bitcoin to gold, suggesting that the latter, at least, has “some value” if people do not see it as an investment.

In December, the cryptocurrency experienced a dramatic surge in terms of price. It hit new records every single day, reaching a whopping value of $20,000. However, its success was suddenly clouded by a plunge, giving it a trade value of $12,000.

It reminds me of the Tulip mania in Holland in the 1640s, and so the question is did that collapse? We still pay for tulips even now and sometimes they get expensive.

He added:

[Bitcoin] might totally collapse and be forgotten and I think that’s a likely outcome but it could linger on for a good long time, it could be here in 100 years.

Shiller was basically referring to an economic bubble that hit the Netherlands sometime in 1637. It was when after prices significantly grew, the market saw a huge blow. It just all fell apart.

The economist has already spoken about bitcoin on a great number of occasions before. He deems it a “fad” and that the “story” behind the cryptocurrency only drives enthusiasm for it.

While he agrees that it is a new form of money, he stands by his belief that bitcoin only sounds revolutionary. That merely involves “a very clever use of cryptography,” something that has stirred interest among people.