Harvard Economist Says Bitcoin is Likely to Reach $100 in 10 Years, But For the Wrong Reason
Opinions on the Bitcoin price are very different in nature. Some people expect six-digit figures by 2020, whereas others expect a major decline in value. Harvard economist Kenneth Rogoff is convinced the BTC value will head to $100 soon enough.
Kenneth Rogoff is at it Again
Most people in the cryptocurrency world are familiar with Kenneth Rogoff. He has made some interesting Bitcoin price predictions over the years. The Harvard economist is convinced cryptocurrencies will not succeed. In fact, he regularly states how these markets will eventually collapse when common sense returns to this industry. Only time will tell if those concerns will effectively become a factor in the future.
According to the Harvard economist, Bitcoin will hit $100 in the near future. It is a “greater chance than it hitting $100,000 a decade from now”, according to Rogoff. That is a remarkable statement, albeit he has some good reasons for making this prediction. Once money laundering and tax evasion are removed from the equation, the use cases for Bitcoin are pretty minimal. The Harvard economist mainly sees BTC as a tool for criminal activity, a sentiment shared by most governments around the world today.
Recent research by Blockchain Intelligence Group shows Bitcoin is used far less in the illegal circuit right now. It still accounts for nearly one in five transactions, though. Even so, it shows criminals are flocking to other solutions in this regard. Whether this means they use altcoins or traditional financial solutions, remains unknown at this point. It seems the Harvard economist has not taken this research into account before making this $100 price prediction.
Government Regulation is a Non-factor
No one can deny more governments are looking to regulate cryptocurrency. Doing so successfully will be a challenge. The decentralized nature of cryptocurrencies makes it virtually impossible to apply traditional regulation. Harvard economist Kenneth Rogoff thinks government regulation will crash the Bitcoin price. He does acknowledge this degree of regulation will take a fair amount of time to come to fruition.
We have seen Japan legalize Bitcoin as a form of payment. It is possible other countries will follow this lead by example in the future. Assuming this trend continues, the Harvard economist will be proven wrong in his assessment rather quickly. For now, multiple governments are in the process of tackling this industry. How they will go about doing so, remains unknown, for the time being. As such, the impact of potential regulation is a non-factor right now.
Whether or not Rogoff’s prediction will come true, has yet to be determined. Anything is possible in the world of cryptocurrency. For now, regulation is not necessarily a concern, as governments want to see how the underlying technology developers. As such, we may see the Bitcoin price continue to thrive for quite some time to come. Even a Harvard economist can make an incorrect prediction now and then. This is especially true when it comes to Bitcoin or other cryptocurrencies.