The popular investment company Credit Suisse is now one of the companies associated with downgrading cryptocurrency. CEO of Credit Suisse Tidjane Thiam recently stated that a press conference that “from what we can identify, the only reason to buy or sell bitcoin is to make money, which is the very definition of speculation and the very definition of a bubble.”
One of the leading opinions on why cryptocurrency doesn’t fully work is because of the large amount of black market activity that is often associated with it. The CEO went on to state that banks “have little or no appetite to get involved in a currency which has such anti-money laundering challenges.”
Thiam is one of the newest names to join the party of going against digital currency. Others in the same space include Warren Buffett, and most popularly, Jamie Dimon the CEO of JPMorgan.
Ray Dalio has also been one of the critics of the currency speaking of the high amount of speculation and volatility associated. Thiam stated that he thinks interest in the currency will subside soon enough, and most who are currently invested will slowly leave the space.
This however, does not seem likely given the high amount of upward price fluctuation in the currency. The past few days alone have seen Bitcoin reach new highs of over $7,000 and it does not look to be slowing down soon. Although critics like Jamie Dimon and Thiam continue to speak poorly of cryptocurrency, the reality is that they have large amount of potential in the space to change the world economy as we know it. If any amount of legitimization is found, the currencies will be able to change our financial system as well as add to it possibilities that were never before found.