Renowned economist Nouriel Roubini argued that the future of money won’t be shaped by cryptocurrency, highlighting the ongoing crash in Bitcoin (CRYPTO: BTC) and other leading tokens.

Bitcoin Failed As ‘Digital Gold,’ Notes Roubini

“Moreover, crypto was supposed to benefit from various macro and geopolitical risks, such as the ballooning of U.S. and other advanced economies' debt and deficits; the debasement of the dollar and other fiat currencies,” the longtime crypto skeptic wrote.

But gold rose by more than 60% last year, while Bitcoin lost 7%, Roubini emphasized.

“Bitcoin and other cryptocurrencies' latest plunge further underscores the highly volatile nature of this pseudo-asset class; one only hopes that policymakers will wake up to the risks before it’s too late,” he added.

Are Stablecoins The Next Banking Crisis Catalyst?

Roubini added that decentralized finance “will never reach scale” and no government, including the Trump administration, would allow full anonymity in financial transactions.

He also warned that stablecoins, regulated through the recently passed GENIUS Act, threaten traditional banking’s foundations, potentially sparking bank runs.

Roubini’s Dark Predictions

Roubini's views are significant given his reputation as one of the few economists who predicted the 2008 financial crisis, earning him the title of "Dr. Doom."

His skepticism about cryptocurrencies echoes his previous statements, including his 2018 testimony to senators, where he called Bitcoin the "mother of all scams."

Price Action: At the time of writing, BTC was exchanging hands at $71,594.11, down 5.81% in the last 24 hours, according to data from Benzinga Pro.

Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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