Nobel Laureate Ben Bernanke Says Crypto Is Worthless

Ben Bernanke, former chairman of the Federal Reserve and winner of the 2022 Nobel Prize in economics, has blasted the concept of cryptocurrencies, saying they are worthless, Sergio Goschenko reported for Bitcoin.com.

Photo Insert: Bernanke explained that, while bitcoin is used as a speculative asset, he does not think it can reach the status of an alternative currency.

In an interview with Dagens Nyheter, one of the biggest Swedish journals, Bernanke remarked that cryptocurrencies have not proven they have any economic value at all, Goschenko added.

The demise of cryptocurrency companies like FTX, one of the largest cryptocurrency exchanges, and also crypto lenders like Celsius and Blockfi, has made analysts reassess the real contribution that cryptocurrencies to the economy.

Bernanke said he does not think cryptocurrencies constitute a threat to the current financial system because no bank is sitting on a large pile of these assets.

“I believe that so far cryptocurrencies have not been shown to have any economic value at all.” Bernanke’s negative opinion on crypto is not new, as he has also made similar remarks in the past.

In May, Bernanke said bitcoin was used “mostly for underground economy activities and often things that are illegal or illicit.”

He explained that, while bitcoin is used as a speculative asset, he does not think it can reach the status of an alternative currency. Bernanke argues that regulated or not, cryptocurrencies are destined to fail.

“Either they are not regulated and then they will collapse because people distrust them or they are regulated and then they will collapse because they are mostly used for criminal activity.”

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