Former UK Prime Minister Boris Johnson has described Bitcoin as a “Ponzi scheme,” arguing it has much less worth than collectibles equivalent to Pokemon playing cards.
Each day Mail column cites alleged bitcoin rip-off
In a Friday opinion piece within the Each day Mail, Johnson opened with a narrative a couple of good friend who gave £500 (about $661) to a person who promised to “double his cash” by investing it in bitcoin.
Johnson wrote that the good friend stored paying extra “charges” over the subsequent three and a half years.
He stated the good friend was by no means in a position to retrieve funds after sinking £20,000 (about $26,474), which he stated led to monetary hardship.
Johnson wrote:
“He was struggling to pay his payments. He wasn’t the one one, stated my good friend. Different folks within the neighborhood have been going by way of the identical nightmare.”
Johnson compares bitcoin to Pokemon playing cards
Johnson argued that decades-old Pokemon playing cards are simpler to know as tradeable belongings as a result of they’ve broad attraction and a multi-decade historical past.
He added:
“Even if you happen to stay fairly impervious to the attraction of Pikachu, you’ll be able to nearly see why a decades-old Pikachu card continues to be a tradeable asset.”
Bitcoiners push again on-line
The column drew criticism from bitcoin supporters and trade executives.
Technique co-founder Michael Saylor responded by disputing the “Ponzi” label.
Saylor stated:
“Bitcoin is just not a Ponzi scheme. A Ponzi requires a central operator promising returns and paying early traders with funds from later ones.”
Some critics additionally pointed to the UK’s debt-based system, with Pierre Rochard calling the nation a “large Ponzi scheme” financed by debt.