Kenneth S. Rogoff, a Harvard University Economics Professor and former IMF Chief Economist, predicted in 2018 that Bitcoin was more likely to fall to $100 than rise to $100,000 within the next decade.
But Bitcoin has surpassed $100,000 this year, a nearly 10-fold increase from the sub-$10,000 levels Rogoff predicted in March 2018.
With Bitcoin hovering around $112,000, Rogoff admitted he was wrong in his prediction, saying he was “overly optimistic that the US would take a sensible path” on cryptocurrency regulation.
In his post, the Harvard economist stated that he expects policymakers to take a tough stance to limit the use of cryptocurrencies for tax evasion and illegal activities. Rogoff indirectly criticized the current regulatory environment for not being vigilant enough, which is why cryptocurrencies like Bitcoin have seen such unexpected growth.
Rogoff argued that he failed to foresee Bitcoin becoming the preferred medium of transaction, competing with fiat currencies in the $20 trillion global underground economy.
Furthermore, Rogoff pointed out a clear conflict of interest as regulators “hold millions or even billions of dollars in cryptocurrency and have virtually no consequences.”
*This is not investment advice.
