01-29-2022, 02:30 PM
Nobel laureate Paul Krugman says crypto has ‘disturbing’ parallels with subprime mortgage meltdown
![[Image: 105730889-1549876797131paulkrugmanathens...=740&h=416]](https://image.cnbcfm.com/api/v1/image/105730889-1549876797131paulkrugmanathens.jpg?v=1604553343&w=740&h=416)
- “There are disturbing echoes of the subprime crash” in the cryptocurrency market, Nobel Prize-winning economist Paul Krugman says.
- Krugman argues crypto investors are being sold speculative financial products without truly understanding the risks involved.
- Bitcoin and other digital currencies have dropped sharply in recent weeks.
Nobel Prize-winning economist Paul Krugman has given an ominous warning about the volatile cryptocurrency market, comparing it to the subprime mortgage crisis of the late 2000s.
In an opinion piece for The New York Times on Thursday, Krugman said he’s “seeing uncomfortable parallels” between crypto and the U.S. subprime crash, which brought the whole housing market to its knees and triggered the 2007-2008 global financial crisis.
“There are disturbing echoes of the subprime crash 15 years ago,” Krugman says in the piece.
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