{"id":827785,"date":"2025-02-17T14:11:53","date_gmt":"2025-02-17T20:11:53","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/02\/17\/father-of-modern-finance-predicts-bitcoins-demise\/"},"modified":"2025-02-17T14:11:53","modified_gmt":"2025-02-17T20:11:53","slug":"father-of-modern-finance-predicts-bitcoins-demise","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/02\/17\/father-of-modern-finance-predicts-bitcoins-demise\/","title":{"rendered":"\u201cFather of Modern Finance\u201d Predicts Bitcoin\u2019s Demise"},"content":{"rendered":"<p>Bitcoins <\/p>\n<div id=\"page\">\n<div id=\"content_box\">\n<header>\n<div>\n<p><img loading=\"lazy\" alt src=\"https:\/\/secure.gravatar.com\/avatar\/41169a86822e6585e2f87627f7d7ef3a?s=32&#038;d=mm&#038;r=g\"  height=\"32\" width=\"32\" decoding=\"async\"><\/p>\n<p><span><span>By <a href=\"https:\/\/fullycrypto.com\/author\/mahu_bs\" title=\"Posts by Mark Hunter\" rel=\"author\">Mark Hunter<\/a><\/span><\/span><\/p>\n<p><span><\/p>\n<p>1 week ago<span>Fri Feb 07 2025 08:54:40<\/span><\/p>\n<p><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n<\/header>\n<p><img width=\"1300\" height=\"890\" src=\"https:\/\/fullycrypto.com\/wp-content\/uploads\/2025\/02\/Father-of-Modern-Finance-Predicts-Bitcoins-Demise.png\" alt=\"bitcoins Father-of-Modern-Finance-Predicts-Bitcoin\u2019s-Demise\" title decoding=\"async\" fetchpriority=\"high\" data-layzr=\"https:\/\/fullycrypto.com\/wp-content\/uploads\/2025\/02\/Father-of-Modern-Finance-Predicts-Bitcoins-Demise.png\">\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<div>\n<p><span><span>Reading Time: <\/span> <span> 2<\/span> <span>minutes<\/span><\/span><\/p>\n<ul>\n<li aria-level=\"1\"><span>Nobel laureate Eugene F. Fama has predicted that Bitcoin will become worthless within the next decade<\/span><\/li>\n<li aria-level=\"1\"><span>Fama has criticized Bitcoin\u2019s extreme volatility and lack of intrinsic value<\/span><\/li>\n<li aria-level=\"1\"><span>He also doubted its viability as a medium of exchange due to its unstable value<\/span><\/li>\n<\/ul>\n<p><span>Nobel laureate Eugene F. Fama has expressed a strong belief that <\/span><a href=\"https:\/\/fullycrypto.com\/crypto-essentials-an-overview-of-bitcoin\"><span>Bitcoin<\/span><\/a><span> will lose all value within the next ten years due to its lack of intrinsic value and its volatility. Fama, who earned a Nobel Prize in Economic Sciences in 2013, has also argued that Bitcoin\u2019s instability makes it unsuitable as a medium of exchange. His calls echo hundreds made over the years, all of which have proved spectacularly wrong.<\/span><\/p>\n<h2>Bitcoins <span>Fama Convinced Bitcoin Will Die Within a Decade<\/span><\/h2>\n<p><span>Eugene F. Fama is an American economist renowned for his groundbreaking work in financial economics, particularly his development of the Efficient Market Hypothesis (EMH).\u00a0 In 2013, he was awarded the Nobel Prize in Economic Sciences for his contributions to asset pricing and market efficiency.<\/span><\/p>\n<p><span>Over the decades, Fama has remained an influential voice in economics, frequently challenging conventional wisdom on financial bubbles, cryptocurrencies, and the nature of risk in markets. In a recent discussion on the podcast Capitalisn\u2019t, the man often referred to as the \u201cFather of Modern Finance\u201d predicted that Bitcoin\u2019s value is likely to drop to zero within the next decade:<\/span><\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/JqnccpQIG_w?si=mqPg2c_vBiv0r9EW\" width=\"300\" height=\"150\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\" data-mce-fragment=\"1\"><\/iframe><\/p>\n<p><span>In the discussion, Fama was skeptical about Bitcoin\u2019s long-term viability, emphasizing that its lack of stable value and intrinsic worth undermines its potential as a sustainable currency. He suggested that Bitcoin\u2019s current valuation is driven by speculative behavior rather than fundamental value, reinforcing his prediction of its eventual decline to zero. When asked about the probability of Bitcoin becoming worthless in ten years, Fama responded, \u201cI would say it\u2019s close to one.\u201d\u00a0<\/span><\/p>\n<h2>Bitcoins <span>Cryptocurrencies Are a \u201cPuzzle\u201d<\/span><\/h2>\n<p><span>Fama also took aim at cryptocurrencies in general during the episode:<\/span><\/p>\n<blockquote>\n<p><span>Cryptocurrencies are such a puzzle because they violate all the rules of a medium of exchange. They don\u2019t have a stable real value. They have highly variable real value. That kind of a medium of exchange is not supposed to survive.<\/span><\/p>\n<\/blockquote>\n<p><span>There are many who would agree with Fama when it comes to most cryptocurrencies but would disagree when it comes to Bitcoin, which has seen extremely influential members of the banking institution recognizing its value as a <\/span><a href=\"https:\/\/fullycrypto.com\/trump-dismisses-bitcoin-while-powell-calls-it-digital-gold\"><span>decentralized form of digital gold<\/span><\/a><span>.<\/span><\/p>\n<p><span>In predicting Bitcoin\u2019s death, Fama has added his name to a cast of hundreds, all of whom have been not just wrong to date but spectacularly wrong.<\/span><\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p> Mark Hunter <a href=\"https:\/\/fullycrypto.com\/father-of-modern-finance-predicts-bitcoins-demise?utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=father-of-modern-finance-predicts-bitcoins-demise\" class=\"button purchase\" rel=\"nofollow noopener\" target=\"_blank\">Read More<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Mark Hunter 1 week agoFri Feb 07 2025 08:54:40 Reading Time: 2 minutes Nobel laureate Eugene F. Fama has predicted that Bitcoin will become worthless within the next decade Fama has criticized Bitcoin\u2019s extreme volatility and lack of intrinsic value He also doubted its viability as a medium of exchange due to its unstable<\/p>\n","protected":false},"author":1,"featured_media":827786,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4173,3045],"tags":[11476],"class_list":{"0":"post-827785","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-modern","8":"category-father","9":"tag-bitcoins"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/827785","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=827785"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/827785\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/827786"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=827785"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=827785"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=827785"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}