A frequently cited source of discontent amongst cryptocurrency critics is that the technology has not yet reached the desired level of decentralization.
Although it is generally accepted that this will not be a problem once the technology gains more widespread adoption and continues to develop, notorious cryptocurrency critic Nouriel Roubini is out today with a tweet calling cryptocurrency ”more centralized than North Korea”.
This comes as Roubini gears up for a US Senate Committee on Banking, Housing and Urban Affairs hearing on ”Exploring the Cryptocurrency and Blockchain Ecosystem”, scheduled for later this week.
More specifically, Roubini’s tweet alleged that ”developers are centralized dictators”, specifically mentioning Ethereum co-founder Vitalik Buterin as a supposed ”dictator for life”.
In addition to this, Roubini also stated that miners and exchanges are both centralized, and stated that the Gini coefficient – a statistical measure mainly used to gauge income inequality – of Bitcoin is worse than that of North Korea.
Several Twitter commenters have noted that Roubini’s comments are, first and foremost, severely oversimplified – with different cryptocurrencies having a varying degree of decentralization.
Furthermore, commenters have also raised that decentralization is, in general, improving over time as new decentralized exchanges, more developers, investors and innovation occur within the sector.
The self-described Bitcoin evangelist Alistair Milne has also responded to Roubini’s claim that the Gini inequality coefficient for Bitcoin is higher than that for North Korea, calling the statement inaccurate, referencing that the largest Bitcoin wallets are owned by massive groups of people.
This is not the first time that Roubini – nicknamed ”Dr. Doom” after his bearish predictions on the financial crisis – has made his negative bias towards cryptocurrencies known.
He has previously said that the blockchain is nothing more than a ”glorified Excel spreadsheet”, and branded Bitcoin enthusiasts both ”hodl nuts” and even ”crypto terrorists”.
In addition to this, Roubini has also predicted that the price of Bitcoin will allegedly go to zero, and he has particularly lambasted Bitcoin, suggesting that the notion that it is decentralized is ”bullshit”.
Although Roubini is notoriously cryptocurrency-adverse, this has apparently not dissuaded the Senate from inviting him to testify before their blockchain technology hearing this Thursday.
Nevertheless, Roubini will testify alongside Peter Van Valkenburgh, the Director of Research at Coin Center, a cryptocurrency research and advocacy group.
Moreover, this Senate hearing could potentially have significant implications for the future cryptocurrency climate in the US.
It was already quite plain that Roubini would intend to discourage lawmakers from introducing any cryptocurrency-friendly regulations, but his latest tweet would seem to cement that prediction.
Image Source: “Flickr”
Rasmus Pihl is a writer for Toshi Times by day and an avid follower of the cryptocurrency industry by night. Rasmus holds a Bachelor’s Degree in Marketing from the Gothenburg School of Business, Economics, and Law and runs a Swedish marketing consulting firm. Moreover, when he isn’t writing for Toshi Times, traveling, working or changing the world in some other capacity, Rasmus is more than likely caught up in postgraduate studies.