Bankers vs Bitcoin
If you are HODLING Bitcoin from 1000$ to 11 000$ , you are a hero ! Let me tell you why...
Bitcoins meteoric rise in 2017 alone caught a lot of mainstream media attention and provoked a lot of mixed reactions from various finance bosses. A lot of bankers, entrepreneurs, journalist and just average conspiracy theorists all jumped in the “fraud" and "bubble” wagon. We will discuss some of the most notable Bitcoin sceptics in this blog post.
#1 Jamie Dimon - CEO of JPMorgan Chase & Co.
Date: 13th of October, 2017 / Price of Bitcoin: ~5667 $
Thoughts on Bitcoin
- Bitcoin is a fraud
- Governments are going to crush it one day
- Compares it to the Tulip bubble
- JPMorgan moves 6 Trillion dollars a day, Bitcoin trades a Billion dollars a day
- “If you are stupid enough to trade it, you will pay the price one day”
- Great product for criminals
#2 Paul Donovan - Global Chief Economist, UBS Wealth Management
Date: 30th of November, 2017 Price of Bitcoin: ~10,010$
- Taxation
- Governments will not accept anything they cannot control
- The fatal issue for cryptocurrencies is that the supply of them can only ever go up
- Without a central bank, supply and demand cannot be controlled, which will lead to a definite collapse.
- Bitcoin is not a particularly stable store of value due to extreme volatility
#3 Lloyd Blankfein - CEO of Goldman Sachs
Date: 30th of November, 2017 Price of Bitcoin: ~10,010$
- Bitcoin is a vehicle for fraudsters
- Extreme volatility
- Does not deserve close attention
#4 Joseph Stiglitz - Economist, Professor at Columbia University, Nobel Prize recipient
Date: 29th of November, 2017 Price of Bitcoin: ~9870$
- Ought to be outlawed
- Doesn’t serve any useful social function
- Just a bubble
- Relies on Marxist Theory of Value(1)
- It is all “smokes and mirrors’”
(1) Marxist Theory of Value suggests that the value of a commodity could be measured objectively by the average number of labor hours necessary to produce it. Other famous advocates of this theory are Classical Economists Adam Smith and David Ricardo.
Note: Subjective Theory of Value stipulates that value emerges from human perceptions of usefulness. Voluntary economic exchanges take place only when each trading partner subjectively values the other’s good more than his own.
If you want more of the same you can watch here an interesting discussion between Bitcoin enthusiast Brian Kelly and Nobel Prize winner Robert Schiller.
I know that some of these guys made more that on statement on the topic, for the sake of readability and content digestion I decided to include the ones with video to it. I really enjoyed listening to these guys.
In Conclusion
As I said in the beginning, every single person that holds bitcoin after all this negative flow of news can be called an investor. As a trader, I really know how frustrating it can get, especially trading an extremely volatile asset such as bitcoin. In these moments conviction and rational thinking are your best friends.
I am aware that these people are biased, but that doesn't mean that their point is not valid. Governments will push back hard and some of the supply and demand issues are legit. I suppose in the near future we will know what is what.
Sources:
https://www.investopedia.com/terms/l/labor-theory-of-value.asp
If you liked the content you can:
Follow me @ervinneb
Upvote, Resteem and comment! I would love to know your thoughts on this :)
Congratulations @ervinneb! You have completed some achievement on Steemit and have been rewarded with new badge(s) :
Click on any badge to view your own Board of Honor on SteemitBoard.
For more information about SteemitBoard, click here
If you no longer want to receive notifications, reply to this comment with the word
STOPIf someone held through it all they are free to fly this meme with pride:
@pawsdog
Haha, definitely!