Steve Hanke Calls Bitcoin Highly Speculative Asset with Fundamental Value of Zero

Steve Hanke Calls Bitcoin Highly Speculative Asset with Fundamental Value of Zero

Prominent economist at Johns Hopkins University and a crypto skeptic Steve Hanke has once again slammed Bitcoin on his Twitter page, sharing particular reasons why he is anti-BTC.

“Bitcoin’s fundamental value is zero”

Prominent Bitcoin critic Steve Hanke has taken to Twitter to name the reasons of why he does not believe that Bitcoin is a worthy asset. He is making emphasis again on the flagship crypto’s high volatility, its vulnerability to fraud. His conclusion is that Bitcoin is only a highly speculative asset, whose fundamental value is as low as zero.

The economist has posted a meme, putting Bitcoin on the same level with famous disasters, such as the Titanic and the Hindenburg movies.

#Bitcoin is an asset that is extremely volatile, susceptible to fraud, and highly uncertain. What could go wrong? Bitcoin is nothing more than a highly speculative asset with a fundamental value of ZERO.— Steve Hanke (@steve_hanke) September 27, 2021

Around ten days ago, Hanke commented on El Salvador adopting Bitcoin as a legal tender. He tweeted that the majority of Salvadorans do not understand Bitcoin and so they are allegedly being fed with lies about BTC being a cheaper remittance method than traditional financial platforms.

Michael Saylor responds

CEO of the MicroStrategy business intelligence software giant, Michael Saylor, who is a recently turned Bitcoin evangelist, has responded with his usual metaphors about Bitcoin, comparing it to digital energy, and trying to persuade Hanke that Bitcoin was made to give “property rights & economic empowerment to anyone”, and therefore brings hope, as long as they have a smartphone.

#Bitcoin is digital energy. It is also digital property. It will last forever. It is programmable & moves at the speed of light. It is technology to provide property rights & economic empowerment to anyone with a mobile device. It is for a better future.— Michael Saylor⚡️ (@michael_saylor) September 27, 2021

MicroStrategy holds $5.1 billion in Bitcoin

MicroStrategy is the first public company that started buying Bitcoin with its cash reserves in August 2020 and has been adding more and more BTC since then. It has several times raised funds from its shareholders to do that - $400 million and $600 million.

On September 13, the company bought an additional $243 million in Bitcoin. At the moment, the business intelligence software behemoth holds a total of $5.1 billion in Bitcoin. During the third quarter this year, the company purchased a total of $419 million worth of Bitcoin.