Bitcoin
$ 60,734
Ethereum
$ 3,969.0
Litecoin
$ 189.97
okex ads

Cryptocurrencies Have ‘No Intrinsic Value’ Says South African Hedge Fund Guru

Jean-Pierre Verster, the founder of a South African hedge fund Protea Capital Management, has said he does not believe there is “intrinsic value” in cryptocurrencies. He insists that cryptocurrencies have “elements of a Ponzi scheme” and for that reason, he has not invested in them.

A ‘Wonderful Technology’

In remarks made during an interview, Verster however appears to adopt a stance on blockchain technology that is similar to that of cryptocurrency opponents. He explained:

I think the technology of blockchain is a wonderful technology. And will find applications when it comes to having open ledgers – when it comes to transactions that you need to make sure are captured somewhere or recorded somewhere in a way that people can’t after the facts – fiddle with those recordings. For that blockchain is great.

Although he points to foreign exchange restrictions and hyperinflation as some of the legitimate factors that contribute to the popularity of cryptocurrencies, Verster still attacks “the application of blockchain into cryptocurrency.”

Inevitable Crash

He also warns of an inevitable crash should all the people who wanted to get involved in the currencies finally do so. Verster explained further:

So it has got these elements of a Ponzi scheme, which means that for a long period of time, prices go up, go up, and it looks like value increases, and then it all comes crashing down. So I have not invested in crypto myself.

These latest anti-crypto comments by Verster — who also confesses that he is no crypto bull — are a reiteration of his disdain for types of investments that make him “dependant on what the other person thinks the asset is worth.”

 

Source: news.bitcoin.com

Related Posts

Leave a Reply

Newsletter

Subscribe To Newsletter

For updates and exclusive offers, enter your e-mail below.

Popular Posts

Night Life Crypto Partners with Polygon and Launches it’s NFT Sale
October 22, 2021By
Sphynx Launches 8,888 new NFTs as Part of Its New NFT Collection
October 22, 2021By
KuCoin Is Meeting Crypto’s Social Demands with New App Features That Redefine Crypto Trading
October 22, 2021By

Advertisement

Video Posts

In
Impact Of Technology On 4.0
July 6, 20210
In
Importance Of Cryptography
July 3, 20210

Crypto Stats


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin60,734 0.08 % 3.19 % 5.71 %
Ethereum3,969.0 0.02 % 2.89 % 4.60 %
Binance Coin476.79 0.51 % 0.31 % 1.05 %
Tether1.000 0.09 % 0.27 % 0.00 %
Cardano2.150 0.76 % 0.01 % 1.07 %
Solana196.08 0.20 % 5.02 % 30.64 %
XRP1.090 0.25 % 1.25 % 4.14 %
Polkadot43.57 0.04 % 1.24 % 7.00 %
Dogecoin0.2463 0.07 % 0.68 % 5.72 %
USD Coin1.000 0.27 % 0.30 % 0.07 %

You have not selected any currencies to display