Topic: [2017-10-17] Robert Shiller: “Bitcoin is a Fad” but “I'll take Bitcoin” (Read 310 times)

People like him usually hide their true face. He says one thing and does another. I already stopped believing these people. I just quietly invest in bitcoin and believe in the growth of crypto currency

He seems to be a man of many contradictions and this can be the case of many people who are dealing with information and facts...there would some mixed up some time. My point is that how can a certain thing to have lasted for thousands of year can still be considered as a fad?

So what is a fad?

Now, for a thing that can last for so long...maybe the definition of a fad can not be applied anymore as that thing can already be a big part of the cultural and financial heritage of humanity -- am talking of gold here.

The same thing can happen with Bitcoin. Bitcoin can last for hundreds and even thousands of years just like the real gold and by that time it would be preposterous to call it as a fad. Anyway, fad or not we all love Bitcoin  and only time can tell how things will go from here.

I don't see anything bad about how he see btc as long as he buys it. Lot of us are just like him that wants to take a profit and exit out but with a few amount of it left. Once bitcoin reached $10k, those people like him will more likely sell it on that position and exit happily.

This is going to happen because they either do not know the potential of this cypto currency or just trying to stay away form the real fact that its is being used widely and have many advantages for the people in various walks of life. Hope they will change their opinion in coming time.

Bimetalism was bound to fade simply because the prices of precious metals went up like crazy. Nowadays you simply couldn't use gold as a currency because even small coins would be too valuable. Imagine these being used in vending machines or slot machines, whatever. People would have to hire armed guards to watch over them as a full machine would be worth tens of thousands of USD.
As for BTC, it's not overvalued. People want it because they know how unstable and inflated fiat is.

If it is a fad, how is he so sure that he will be able to get out of it? A lot of economists have been making headlines by running down bitcoin. They get a few minutes of fame, but they will be the butt of jokes in the future

It's not all that bad, I expected this article to have a more negative tint to it. Currently the majority of the people who invest in Bitcoin and crypto in general, do that because of the financial aspect that's attached to this market. I however start to notice a shift in the mentality, where people more and more start to realize that Bitcoin isn't just an investment opportunity, or online payment tool, but also a way to store wealth outside the reach of banks and governments. This is a very important development, because it shows that even the average person is also getting sick and tired of how banks and governments treat them. On top of that, they directly avoid seeing the value of their fiat wealth slowly vanish into hot air, year after year. So no mr Shiller, there is nothing strange about peope's enthusiasm for crypto.

Nobel Prize-winning economist Robert Shiller appeared on CNBC’s “Closing Bell” earlier today. During the interview he commented on the “strange enthusiasm” people seem to have for Bitcoin but ultimately sums up the cryptocurrency up as a “fad”, comparing it to the phenomena of bimetallism.

For those unaware, bimetallism refers to a trend that occurred in the late nineteenth century. People began to favour the use of precious metals like gold as legal tender.

Despite holding this opinion, the American economist does see the potential for profit within the space:

    I’ll take bitcoin, too, because I know I can sell it and get out of it. There seems to be some strange enthusiasm for it. People get excited about things like new monetary standards. Remember bimetallism? It went into a fad, everyone was talking about it for a while. And then it faded.

From his statements, Schiller clearly thinks Bitcoin is priced above its worth today at over $5,000. That said, he also thinks gold is similarly overvalued. Declaring it a multi-millennium bubble, he doesn’t think the practical uses for the precious metal match the current price. He acknowledges its utility in some industries but ultimately deems it “a fad that’s lasted thousands of years.”

He goes on to express doubt about the current state of the markets too, noting the appearance of some worrying signs. He claims to be aware of “danger” but hasn’t yet pulled out of his position, and doesn’t advice others to do so either. Drawing a parallel between today’s outlook, and that of 2000, Schiller reminds investors that the market fell around 40 percent soon after. Such a crash would likely prompt even more “strange enthusiasm” for crypto.

It’s the second time in as many months that Professor Schiller has spoken publicly about Bitcoin. In early September, he debated CNBC’s crypto expert, Brian Kelly, in a “Bitcoin Battle Royale“. During the conversation, the Nobel Prize winner claimed that Bitcoin is similar to a bubble and that bubbles are driven by stories rather than metrics. Mentioning the mysterious birth of the planet’s most successful cryptocurrency and undermining its potential utility, Schiller said:

     "It’s the quality of the story that’s attracting all this interest, and it’s not necessarily sustainable… what’s driving the market. It’s not fundamentals. It’s not like this is a fundamentally important thing, this Bitcoin."

http://www.newsbtc.com/2017/10/17/robert-shiller-bitcoin-fad-ill-take-bitcoin/