Skip to content

Dean of NYU Evaluations & # 039; s & # 039; Said Bitcoin is a currency, not an asset

--Advertisements --

Aswath Damodaran, a finance professor at the NYU Stern School of Business, expressed his belief that bitcoin is a currency rather than an asset in a new blog post.

"Evaluating Dean" of Wall Street, says Damodaran in his article: "I do not believe crypto-currencies are or will become an asset class," or that they will change the "fundamental truths of risk". , investment and management. "

He continued:

"Bitcoin is not an asset, but a currency, and as such, you can not value it or invest in it, you can only value it and exchange it. "

Bringing all investments into four categories – assets, commodities, currencies and collectibles – the financial expert has substantiated his statement by saying that bitcoin does not "generate cash flow" to be classified as an asset nor a "raw material" which would classify it as a commodity.

"The choice then becomes whether it is a currency or an object of collection," he said.

-- Advertisements --

Notably, Damodaran disagreed with the recent comment by Jamie Dimon, CEO of JPMorgan Chase, that Bitcoin is a "fraud".

In July, Damodaran also argued that crypto-currencies quickly became a preferred alternative to gold for people who do not trust traditional fiduciary currency.

Aswath Damodaran Image via YouTube


Leader in blockchain information, CoinDesk is an independent media company that strives to achieve the highest journalistic standards and adheres to a strict set of editorial policies. Do you have any breaking news or a tip to send to our journalists? Contact us at [email protected]

See also  The Zen master Steven Seagal confirms that he is the face of a new upper Bitcoiin2Gen coin
Advertisements

-- Advertisements --