2020 has silenced Bitcoin’s critics

How come bitcoin’s detractors have been so quiet in 2020?

Bitcoin (BTC) has had a very interesting year: its price has recovered from a remarkable crash to reach new All-Time Highs. However, despite Bitcoin’s strong performance and increasing crypto adoption worldwide, some observers remain highly sceptical of the sector.

Yet, compared to other years characterised by strong bull runs such as 2017, 2020 has seen far less criticism of the crypto universe: several BTC opponents have Bitcoin Profit somewhat softened their views towards digital assets.

Leaving 2020 behind, let’s look at some of the most talked about stances on BTC and crypto from the past year.
Russian politician Anatoly Aksakov: “Bitcoin has no future”.

  • Date of statement: 23 October 2020
  • Bitcoin price that day: $12,900

Anatoly Aksakov, a member of the Russian State Duma as well as one of the parliamentarians most involved in regulating the crypto sector, has been highly critical of BTC in 2020.

Aksakov believes that the global adoption of cryptocurrency payments such as Bitcoin would lead to the “destruction of the financial system”. In October 2020, Aksakov predicted that decentralised cryptos such as BTC have no future, instead expressing appreciation for CBDCs.

Some of Aksakov’s previous statements, however, have not aged particularly well: during a May 2020 live interview with Maria Butina, Aksakov claimed that crypto mining “is about to become a memory” due to the third halving of Bitcoin’s block rewards, which fell from 12.5 to 6.25 BTC.

The MP claimed that “mining is no longer profitable and, from what I understand, this business is set to disappear in the future”. Despite this prediction, Bitcoin miners made very good money during 2020: by November, their revenues had already reached pre-halving levels.

Aligning himself with the Russian authorities’ constant haziness in regulating crypto, Aksakov often changes his viewpoint on the sector. In early December, he called cryptocurrencies a “highly profitable business”, stressing the need to legitimise them and recognise them as property.

Aksakov is also chairman of the National Banking Council at the Russian central bank. In mid-October 2020, the Bank of Russia officially published its plans to develop a CBDC, the digital ruble.
Nouriel Roubini: “There is nothing whose price is expressed in Bitcoin or any other cryptocurrency”

  • Date of statement: 7 November 2020
  • Bitcoin price that day: $14,900

Nouriel Roubini, a professor of economics at New York University’s Stern School of Business, is one of the world’s biggest critics of cryptocurrencies.

Roubini is known for his caustic statements that “cryptocurrencies as a technology have absolutely no reason to succeed”: even in 2020, the renowned economist remained staunchly critical of crypto and BTC, despite admitting in late 2019 that Bitcoin “perhaps is a partial store of value”.

On 7 November 2020, Roubini stated that the very definition of “cryptocurrency” is a “misnomer”, as a currency must provide a unit of account. Roubini went on to attack Bitcoin, criticising its apparent limited scalability:

“There is nothing whose price is expressed in Bitcoin or any other cryptocurrency. A currency has to be a scalable means of payment, and Bitcoin can only do five transactions per second.”

At the same time, Roubini acknowledged Bitcoin’s potential function as a store of value:

“It is perhaps a partial store of value because, unlike thousands of other shitcoins, it cannot be so easily inflated, since at least there is an algorithm that decides the growth of Bitcoin’s supply over time.”

Peter Schiff: “Bitcoin is the biggest bubble I’ve ever seen”

Peter Schiff, millionaire broker and CEO of Euro Pacific Capital, is another famous Bitcoin detractor, having criticised the cryptocurrency back in 2013. Schiff is often referred to as a “gold bug” by the crypto community, as he is one of the world’s leading proponents of gold investments.

During the 2020s, Schiff has repeatedly expressed his disdain for Bitcoin, predicting that gold will skyrocket while BTC will eventually collapse in the near future.