Business

Eugene Fama, winner of the 2013 Nobel Prize in Economics for his research on market efficiency, predicts that the value of Bitcoin will fall to zero within 10 years. 


The Nobel laureate made his statement In a podcast of *Capitalisn't*. He argues that Bitcoin is not an efficient currency because it is extremely volatile and used mainly as a speculative investment vehicle.


Fama warns that Bitcoin has no intrinsic value and depends on market demand. If the demand decreases, the price could collapse. He sees crypto coins as problematic because they lack the fundamental properties of a medium of exchange and even hopes for a collapse of Bitcoin.


Meanwhile, Bitcoin hovers around $96,000 and reached a record $109,000 at Donald Trump's inauguration. Trump actively supports crypto and wants to make the US a crypto capital, with plans for a strategic reserve of crypto coins.

(Fausto/Source: The Economic Times via HLN/Illustration picture: Kanchanara on Unsplash)