Bitcoin prices might be sweet in the short term, but Harvard economist professor Kenneth Rogoff has an ill prediction for the next decade. Speaking in an interview this week, Rogoff suggested that in the next decade, Bitcoin will probably be worth only a small fraction of what it’s worth today. As of publishing time for this article, Bitcoin sits at around $10k per coin.
Speaking with CNBC overnight, Rogoff suggested that regulation will trigger a fall in the price of Bitcoin. On the other hand, noted Rogoff, this won’t happen any time soon. “It really needs to be global regulation,” said Rogoff. “Even if the U.S. cracks down on it and China cracks down, but Japan doesn’t, people will be able to still launder money through Japan.”
Rogoff suggested that the keys to Bitcoin’s success at the moment are money laundering and tax evasion. “If you take away the possibility of [Bitcoin] money laundering and tax evasion, its actual uses as a transaction vehicle are very small,” said Rogoff. One has to acknowledge the idea that the entirety of the internet would need to be regulated before transactions with Bitcoin were impossible. As such, there’s a rather small chance Bitcoin will be leaving in our lifetimes.
“I think bitcoin will be worth a tiny fraction of what it is now if we’re headed out 10 years from now,” said Rogoff. “I would see $100 as being a lot more likely than $100,000 ten years from now” Don’t expect to see anyone selling their bitcoin for a hundred bucks a coin anywhere near now – not when the coin is currently trading for 10-gees.
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