Bitcoin speculation bubble will burst at some point

Russian crypto critic: „Bitcoin speculation bubble will burst at some point“.

A Russian parliamentarian calls for stricter regulation of Bitcoin, saying he sees the cryptocurrency as a speculative bubble.

Anatoly Aksakov, a deputy in the Russian State Duma, has reiterated his negative stance on Bitcoin (BTC), despite the cryptocurrency climbing back to US$40,000 yesterday, 14 January.

In a related interview with TASS news agency, Asakov argued that Bitcoin Circuit has no real equivalent value and is therefore a mere speculative bubble that is bound to burst sooner or later:

„Bitcoin, as a cryptocurrency, has no real countervalue. It is a private currency whose value is only based on the associated data system. For this reason, Bitcoin is a speculative bubble that will burst sooner or later.“

Accordingly, Asakov is also calling on other countries to regulate Bitcoin more strictly and ban the cryptocurrency altogether as a means of payment.

Russia has already gone down this path by banning crypto payments since 1 January 2021

Thus, the politician says: „It is important to stop Bitcoin from being used to finance drug trafficking, terrorism, money laundering and fraud.“

Nevertheless, he sees Bitcoin as „the mother of blockchain technology“, because although the technology had been around for a long time, it would only have become widely known through cryptocurrency.

The Russian crypto critic is not alone in his views. Michael Hartnett, the head of investment at Bank of America Securities, had recently even called Bitcoin „the mother of all speculative bubbles“.

Aksakov had already outed himself as one of Bitcoin’s biggest critics in 2020. Last year, he said that the cryptocurrency had „no future“ and that crypto payments would destroy the global financial system.

In the wake of Bitcoin’s record run to $42,000, other influential politicians and dignitaries have also put the cryptocurrency in their crosshairs. ECB chief Christine Lagarde had also identified Bitcoin on 13 January as a „highly speculative financial product“ that facilitates money laundering.