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Investment Mogul AGI Doubts Bitcoin, Calling It “A Bubble”

Bitcoin stock reached the lowest it has been in a long time on February 5th, at which point many people sold their stock as they figured it was only headed to even lower values. Allianz Global Investors, one of the biggest firms, highly doubts it’s long term financial opportunity.

Bitcoin has been a big trend for people, but there’s much controversy as to its potential. A lot of investment consultants and big bankers have weighed in with the high amount of risk linked with Bitcoin.

Stefan Hofrichter, Head of Global Economics and Strategy at AGI, had some thoughts to share. He believes that Bitcoin “ticks all the boxes” which match the criteria of a bubble, in that is lacks regulation, is prone to fraud, and its value is often unnecessarily inflated and overtraded. “It appears to us that bitcoin mania is a textbook-like bubble — and one that is probably just about to burst,” he says.

Bitcoin has zero intrinsic value, which causes many people to doubt it. But if you have stock in it, make sure you tell literally everyone you know.

[via Mashable]

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