Bitcoin is considered a tumor in the middle of a broken economic system

The US central bank (the Fed) which has long maintained zero interest rates has damaged the economic system, which in turn created bubbles like Bitcoin.

According to him, the Fed's bad move has created a hedge fund that shouldn't exist, but has been around for 15 years.“Easy money monetary policies have kept a whole generation of investors unaware of the effects of the recession, a phenomenon that last occurred in the 1980s,” added Taleb.

He also assessed, the chance of a recession has now slowly risen since the Fed tried to fight inflation, raising interest rates consistently.Taleb also predicts the US central bank will continue to raise interest rates to a range of three to four percent, until it is considered "normal economic life."

Previously, Taleb had also criticized Bitcoin, calling it a “contagious disease” and “an obsolete low-interest product,” which is actually worth zero.Indeed, in the past Bitcoin prices tended to depreciate when the US central bank raised interest rates.

But it should be underlined that, in his whitepaper, Bitcoin did exist because of the impetus of a damaged and failed economic system after the global market collapse in 2008.Digital Asset Regulatory Framework

On the other hand, currently the US Government has presented a regulatory framework to regulate Bitcoin and other crypto assets in the US, which is based on the exclusive order of the US President, Joe Biden.The government will begin conducting research to strengthen the framework, commissioning the US SEC and CFTC to conduct aggressive investigations.