Bitcoin [BTC] is vulnerable to fraud and unreliable, says Steve Hanke, John Hopkins economist

Whether on interest rates and money supply, on hatching or block size, high-level economists have often disagreed with Bitcoin [BTC] and the largest area of ​​cryptocurrency. Traditional market analysts, more often than not, consider the decentralized currency as a dream.

An economist has gone further by calling Bitcoin "unreliable" and "susceptible" to fraud "; That was the opinion of Steve Hanke, American economist at the prestigious Johns Hopkins University. The economist has separated Bitcoin from the definition of "currency" and has described the asset, which recently crossed the $ 100 billion valuation mark, as "highly speculative".

Hanke referred to the rise in Bitcoin prices, especially in recent months, although he warned readers not to be fooled, as the 6% gain is minimal compared to his "huge plunge". It can be assumed that Hanke refers to the crypto-winter that caused the market to fall from over $ 800 billion in January 2018 to just over $ 100 billion in December of the same year.

Hanke's tweet was:

"#Bitcoin is up 6% to reach its annual high of about $ 6,000. Do not be fooled, a rise of 6% is nothing after its big dive. Bitcoin is unreliable and susceptible to fraud, it is not a currency, but nothing more than a highly speculative asset. "

Since the beginning of the year, Bitcoin has experienced several cycles of price fluctuation, which allowed the coin to fall to just under $ 3,400 in February 2019, and then increase by 71.88% to $ 5,844 in May, with steady gains throughout the months of March and April. On the other hand, the value of stable assets like gold has declined, which has prompted many people to opt for the digital equivalent of reality.

Despite his vocal skepticism about cryptocurrency, comparing digital assets to the Dutch tulip mania of the 1700s, Hanke, in November 2018, is associated with a cryptocurrency start-up. AirTM, a cryptocurrency exchange is associated with Hanke to build stable assets in terms of price for their Latin America division.

In an attempt to tackle the economic situation in Venezuela, the economist proposed an initiative called "Airdrop Venezuela", aiming to collect $ 1 million in crypto and then distribute it to the inhabitants, who will recover it through portfolios Digital AirTM. In this venture, Hanke is consistent with the universal access provided by cryptocurrencies as a distribution mechanism to the needy.

However, aside from its noble implementation of cryptocurrency, Hanke's recent statement on Bitcoin has, unsurprisingly, elicited negative reactions from crypto developers. Nic Carter of the CoinMetrics crypto-analysis company said:

"Surprising to see you return Bitcoin, especially because of its popularity and its use in high-inflation countries. Am still a fan of your work.

Crypto Bitlord, has added a popular crypto-currency influencer, referring to a unique and recurrent Bitcoin feature based on the fundamentals of economics,

"Not very smart for an economist!
The offer halves every 4 years, while more and more people buy it every day. "

Civ Ekonom emphasized the insignificance of Bitcoin's price in relation to its broader objective:

"The price may not be reliable, but Bitcoin is not its price. Bitcoin is the most trusted piece of registry in the world. Much more reliable than Fiat for example. "