Kenneth Rogoff, a Harvard professor and former chief economist at the International Monetary Fund, said that bitcoin may be recouping some of its earlier losses, but there’s more likelihood it goes to $100 than $100,000 in the next 10 years.
In an interview with CNBC’s “Squawk Box,” Rogoff said that if you take away the possibility of money laundering and tax evasion, bitcoin’s actual uses as a transaction vehicle are very small.
“I think bitcoin will be worth a tiny fraction of what it is now if we’re headed out 10 years from now … I would see $100 as being a lot more likely than $100,000 ten years from now,” Rogoff said.
He said that government regulation would be a trigger for the drop in bitcoin prices, but it would take time to develop a global framework of regulation.
Even if the US cracks down on it and China cracks down, but Japan doesn’t, people will be able to still launder money through Japan.” Rogoff believes regulatory moves on bitcoin have slowed because officials want to see how the technology behind cryptocurrencies develops.