Bitcoin ‘Has No Intrinsic Value’: Business Insider CEO U-Turns On Digital Currency
Business Insider CEO Henry Blodget has U-turned on his publication’s Bitcoin cooing, saying it has “no intrinsic value.”
As analysts predict Bitcoin’s price anywhere from $1,470 to $6,000 in days, Business Insider CEO told CNBC the virtual currency “has no intrinsic value.”
“Bitcoin is the perfect asset for a speculative bubble,” Henry Blodget told hosts on the channel’s Squawk Alley Thursday.
“There’s a finite supply, there’s no intrinsic value; [...] if anybody is persuading you that it should somehow be linked to GDP or gold, put down the Kool-Aid and back away.”
Blodget’s comments strike more than a hint of irony, with Business Insider frequently giving column space to Bitcoin industry figures talking about its bright future.
In April, the resource ran an interview piece with Blockchain CEO Peter Smith and Snapchat investor Jeremy Liew, who both said Bitcoin would be worth $500,000 by 2030.
Also flitting back and forth between bullish and bearish is CNBC itself.
Having produced several exciting articles on Bitcoin’s price rise in recent days calling Bitcoin the “new gold”, its $270 drop Thursday has seemingly reversed the channel’s perspective.
A follow-up quoted Forex Analytix analyst Nicola Duke, who foresees a “correction” in price as low as $1,470.
"We will see the bottom at the start of January, that is when stock markets typically tend to have a correction as well," she added.