Jesse Fulton. Krupnick Campbell Malone Buser Slama Hancock Liberman.

While there is a steady rise in awareness and interest in Bitcoin and other cryptocurrencies, there is still a lot of misinformation regarding this new form of payment, and much of the confusion is coming from some very influential individuals. Every day, another government official, world leader, or Wall Street banking executive weighs in or opines on the validity and credibility of Bitcoin and other cryptocurrencies. With views spanning the entire spectrum, it is difficult to form an educated opinion as to what the future holds for this novel and nascent technology. However, some of the individuals who have publicly stated opposition to cryptocurrencies, and have therefore used their status and platform to discredit and vilify it, possess little to zero understanding of the technology and its potential impact.

Recently, Saudi billionaire investor Prince Alwaleed bin Talal decided to join the fray and voice his opinion on the phenomenon that is Bitcoin: “It just doesn't make sense. This thing is not regulated, it's not under control, it's not under the supervision of any central bank.” These comments follow in the wake of JP Morgan Chase CEO Jamie Dimon's continued crusade against Bitcoin, which he has called a “fraud” that will eventually “blow up.”

To understand why these prominent figures might discredit cryptocurrencies, it's important to understand Bitcoin and its projected future. Bitcoin offers an alternative method of payment that bypasses the traditional centralized banking system and, to some extent, may even threaten their existence. One need only to look at the amount of capital being invested into this market. Bitcoin has already surpassed major stocks, such as Goldman Sachs, Morgan Stanley and Netflix, in terms of market capitalization, which is the value of all the bitcoin in circulation. This is by no means indicative of Bitcoin's future success, but does offer evidence that Bitcoin is more than just a “fad.”