Roubini Warns Biden, Yellen Soon to Crack Down ‘Criminal Crypto Cesspools'

Jafrin  |  Dec 25, 2020

Famed economist Nouriel Roubini believes Biden's upcoming administration will be more stringent towards cryptocurrency regulations. Roubini has been a vocal critic of Bitcoin, once calling the cryptocurrency the mother of all bubbles. In a recent Twitter debate, Roubi struck the cryptocurrency once again while calling the industry a cesspool.

Roubini Warns Crack Down of ‘Criminal Crypto Cesspools’

On Dec. 24 Roubini responded to Bitcoin lawyer, Jake Chervinsky’s tweet on Mnuchin’s latest demand that stablecoin payments should be implemented on-chain with AML/KYC identification processes.

Chervinsky argued that the idea currently had exactly zero chance of becoming an enforceable law as according to the lawyer, it only represented a personal view of Mnuchin. Steve Mnuchin is the Treasury Secretary under Trump soon to be replaced by Biden's pick, Janet Yellen.

Roubini joins the conversation saying that Chervinsky is only delusional for being so hopeful towards the crypto sector, saying:

"Biden's team, starting with Yellen who was my boss at CEA, will crack down on this criminal tax-evading & AML-KYC-TFC-evading crypto/shitcoins cesspool much more than Mnuchin. Get a life as you have become a crypto hired gun cheerleader/enabler."

U.S. lawmakers have recently taken stricter action towards the crypto sector with SEC's latest stride towards filing a lawsuit against XRP’s parent company Ripple. Following the lawsuit, XRP’s value dropped by almost 60%.

Roubini Skeptic Towards Bitcoin

Roubini has been a long Bitcoin critic, believing it has no intrinsic value. He even once said that assets such as bonds, stocks, real estate, or precious metals either provide income, capital gains, or some form of utility, while Bitcoin has none, adding:

“First of all, calling it a currency, it’s not a currency. It’s not a unit of account, it’s not a means of payment, it’s not a stable store of value. Secondly, it’s not even an asset.”

The economist also says that there is academic research to suggest that stable coin Tether was created by fiat to manipulate the price of Bitcoin.

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