NYU Professor ‘Dr. Doom’ Says 99% of Crypto Is a Scam — Tells Investors to ‘Absolutely Stay Away’

NYU Professor Nouriel Roubini, aka Dr. Doom, has warned that “99.99% of crypto is simply a scam, a transgression activity, a full real-bubble Ponzi strategy that is going bust.” He advised investors to “absolutely enactment away” from crypto, claiming that astir radical successful the crypto abstraction are “all crooks.”

Dr. Doom Warns Nearly 100% of Crypto Is a Scam

Economic prof Nouriel Roubini, aka Dr. Doom, warned astir cryptocurrency successful an interrogation with Yahoo Finance Live Wednesday astatine the World Economic Forum successful Davos, Switzerland.

Roubini is simply a prof of economics and planetary concern astatine New York University (NYU) Stern School of Business. He besides serves arsenic president of Roubini Global Economics, a planetary macroeconomic and marketplace strategy probe steadfast that helium co-founded. He told the quality outlet:

Literally, 99.99% of crypto is simply a scam, a transgression activity, a full real-bubble Ponzi strategy that is going bust.

Dr. Doom besides shared his sentiment connected the collapsed crypto speech FTX and its disgraced laminitis Sam Bankman-Fried (SBF). FTX filed for bankruptcy past November and SBF is presently facing respective fraud charges, each of which helium has pleaded not guilty to. “FTX and SBF are not an objection — they’re a rule,” Roubini exclaimed.

The NYU prof proceeded to counsel against investing successful cryptocurrencies. He stated that 99% of bitcoin investors did not bargain BTC astatine $1,000 oregon $10,000. “Most of them got FOMO [fear of missing out] successful 2021 erstwhile it was skyrocketing from $20,000 to … $69,000,” helium stressed, emphasizing that 99% of bitcoin investors bought the cryptocurrency “well supra the existent marketplace value.”

Roubini opined, “So they mislaid their shirts. It’s a nightmare.” Dr. Doom noted that bitcoin investors are not unsocial successful losing wealth arsenic different cryptocurrencies “have fallen by 90%, 95%.” He added: “Out of 20,000 ICOs [initial coin offerings], officially 80% were a scam and different 17% person gone to zero. So that means 97% of them … were either a scam oregon mislaid everything.”

Regarding crypto investing, Roubini advised:

You person to enactment away. You person to perfectly enactment away. And astir of these radical beryllium virtually successful jailhouse — literally, they’re each crooks.

The NYU prof of economics has agelong been a vocal professional of cryptocurrencies, claiming that astir crypto proponents are conmen. He called Binance CEO Changpeng Zhao (CZ) “a walking clip bomb.”

Recently, the president of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, warned that most crypto tokens volition fail, urging investors not to FOMO into this plus class. Meanwhile, a erstwhile SEC enforcement official, John Reed Stark, cautioned that an SEC regulatory onslaught is conscionable beginning.

What bash you deliberation astir NYU Professor Nouriel Roubini’s crypto warnings? Let america cognize successful the comments conception below.

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