Bitcoin Enemy No. 1? Robert Shiller says cryptocurrency is a ‘fad’

Since JPMorgan CEO Jamie Dimon has decided to keep quiet about the peer-to-peer decentralized virtual currency, the bitcoin community may have a new enemy in their sights: Robert Shiller.

Speaking in an interview with CNBC, economist and Nobel winner Robert Shiller warned investors not to get sucked into the hype surrounding the cryptocurrency because it is merely a fad, adding that all the buzz is simply noise.

Shiller believes that enthusiasm about a new money standard is what is driving bitcoin’s meteoric rise.

“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,” he said. “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.”

But then Shiller’s analysis goes off the deep end when he says gold is also a fad.

“I think gold is a bubble, but it’s always been a bubble,” he noted. “It has some industrial uses, but it basically it’s like a fad that’s lasted thousands of years.”

Some industrial uses? One of the thing that makes the yellow metal important is its inherent value. Here is what gold is used for: dentistry, electricity, computers, smartphones, chips, conductor, healthcare, construction, roofing, aerospace technology and the list goes on.

It seems that Shiller will have a target on his back in the bitcoin community and by goldbugs.

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