Hello steemians ... I find this article today, here´s the opinion and the arguments of Allianz about what should be the real value of bitcoin.
What do I think? I think there are too many interests and every day it is more about discrediting the blockchain and cryptocurrencies, since it threatens to destroy the interests of banking entities and their monopolies. It's about generating distrust.
The price of bitcoin is a bubble and sooner or later it will have to explode. At least that's what Stefan Hofrichter, an economist at Allianz Global Investors, thinks. The cryptocurrency has no value, although the blockchain is a very useful technology, bitcoin is not the best way to give value to that technology, says the largest insurer in Europe. Yesterday, the ECB said that bitcoin will not be the solution to the end of cash, although it may be a sign of change.
"Bitcoin hyperbolic price movements since its beginning in early 2009 have been very similar to bubbles, when you compare the five-year average price of bitcoin (adjusted for inflation) with that of previous asset bubbles, bitcoin dwarfs the runners-up: the Bubble of the Company of the Indicas of 1720 and that of the Tulips in the Netherlands of 1637. And among the most recent examples, the bitcoin far exceeds the technological bubble of the 1990s and the bubble of Japan of the decade of 1980 ", explains the analyst of the German insurer.
"From our point of view, its intrinsic value must be zero," says Stefan Hofrichter, head of the company's global economy and strategy division. The analyst stresses that there is no support or who to claim and neither "generates any income stream".
"Although one could have the same discussion about gold, it has been widely accepted as a store of value for more than two thousand years, compared to the bitcoin's short course," says Hofrichter.
In addition, the largest cryptocurrency in the world "meets all the requirements" of the criteria for any asset bubble, such as oversold or the belief that it is a "new era" for the global economy.
However, even if the bubble bursts in the worst possible way or even if bitcoin disappears, "the real world would have little effect, since the market for this cryptocurrency is still quite small in size." As a result, we believe that the risks to the Financial stability derived from bitcoin are insignificant, at least to this day. "
The blockchain itself is worth
Despite our concerns about bitcoin, its underlying technology, the blockchain (or distributed ledger) clearly has its potential advantages, among which the possibility of significantly reducing transaction and network verification costs.
This is driving a variety of financial institutions, including central banks, to explore the blockchain more closely and evaluate practical applications, including conducting financial transactions.
What do you think?
