Add Saudi billionaire Prince Alwaleed bin Talal to the roster of high-profile investors and financiers who don’t believe bitcoin and other cryptocurrencies are here to stay.
“I just don’t believe in this bitcoin thing. I think it’s just going to implode one day,” Alwaleed told CNBC in an interview Monday morning. “I think this is Enron in the making.”
Energy firm Enron collapsed in 2001 in one of the largest accounting scandals in U.S. corporate history.
From the archive: Enron workers lost everything
Alwaleed said bitcoin “doesn’t make sense. This thing is not regulated, it’s not under control, [and] it’s not under the supervision” of any central bank.
Alwaleed has plenty of company among bitcoin doubters. Alwaleed said he agreed with J.P. Morgan Chase & Co. JPM, +0.28% Chief Executive Jamie Dimon, who last month likened bitcoin to the 17th century tulip mania, an early market bubble, and branded cryptocurrencies a “fraud” that would eventually implode.
And billionaire investor Ray Dalio, founder of Bridgewater Associates, the world’s largest hedge fund, last month said cryptocurrencies like bitcoin met his firm’s criteria for a market bubble.
Not all big-shot financiers are cryptocurrency skeptics, however. Morgan Stanley Chief Executive James Gorman last month said the phenomenon was “more than just a fad.”
In the wide-ranging interview, the prince also argued that shares of Citigroup Inc.C, +0.41% remain undervalued. “There’s still plenty of room for Citigroup to go above $100 right now,” he told the cable news channel. Citigroup shares are up 49% in the last 12 months and gained 0.4% Monday morning to trade at $73.81. Alwaleed’s Kingdom Holdings is a major investor in Citigroup.