NYU Professor ‘Dr. Doom’ Says 99% of Crypto is a Scam Tells Investors to ‘Absolutely Stay Away’ – Featured Bitcoin News

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NYU professor Nouriel Roubini, aka Dr. Doom, warned that “99.99% of crypto is a scam, criminal activity, a real Ponzi scheme that goes bankrupt.” He advised investors to “absolutely stay away” from crypto, saying most people in the crypto space are “all crooks.”

Dr. Doom warns that nearly 100% of crypto is a scam

Economics professor Nouriel Roubini, aka Dr Doom, warned against cryptocurrency in an interview with Yahoo Finance Live on Wednesday at the World Economic Forum in Davos, Switzerland.

Roubini is a professor of economics and international business at the Stern School of Business at New York University (NYU). He is also Chairman of Roubini Global Economics, a global macroeconomics and market strategy research firm which he co-founded. He told the media:

Literally 99.99% of crypto is a scam, criminal activity, a real real bubble Ponzi scheme that goes bankrupt.

Dr. Doom also shared his opinion on the collapsed crypto exchange FTX and its disgraced founder Sam Bankman-Fried (SBF). FTX filed for bankruptcy last November and SBF is currently facing multiple fraud charges, to which he has pleaded not guilty. “FTX and SBF are not an exception – they are a rule,” exclaimed Roubini.

The NYU professor then advised against investing in cryptocurrencies. He said 99% of bitcoin investors did not buy BTC at $1,000 or $10,000. “Most of them got FOMO [fear of missing out] in 2021, when it skyrocketed from $20,000 to…$69,000,” he pointed out, pointing out that 99% of bitcoin investors bought the cryptocurrency “well above value current merchant.

Roubini said: “So they lost their shirts. It’s a nightmare.” Dr. Doom noted that bitcoin investors aren’t the only ones losing money, as other cryptocurrencies “have fallen 90%, 95%.” He added: “Over 20,000 ICOs [initial coin offerings], officially 80% was a scam and another 17% fell to zero. So that means 97% of them… were either a scam or lost it all.

Regarding crypto investing, Roubini advised:

You must stay away. You absolutely have to stay away. And most of these people literally belong in jail – literally, they’re all crooks.

The NYU economics professor has long been a vocal critic of cryptocurrencies, saying most crypto proponents are scammers. He called Binance CEO Changpeng Zhao (CZ) a “walking time bomb”.

Recently, US Securities and Exchange Commission (SEC) Chairman Gary Gensler warned that most crypto tokens will fail, urging investors not to FOMO in the asset class. Meanwhile, a former SEC enforcement officer, John Reed Stark, has warned that an SEC regulatory attack has only just begun.

What do you think of NYU professor Nouriel Roubini’s crypto warnings? Let us know in the comments section below.

Kevin Helms

An economics student from Austria, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests include Bitcoin security, open source systems, network effects, and the intersection between economics and cryptography.

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