Nassim Taleb Praises Gold Amid De-Dollarization Concerns

De-Dollarization and Gold's Rising Value

Nassim Nicholas Taleb, a prominent scholar and author, has emphasized the ongoing global "de-dollarization" trend. This shift, though largely unnoticed by the general public, involves countries moving away from relying solely on the U.S. dollar. Taleb notes that central banks, particularly from the BRICS nations—Brazil, Russia, India, China, and South Africa—are increasingly storing gold. This precious metal serves as a risk-free asset, with its value seeing a significant rise. Specifically, gold prices have surged by approximately 30% year-on-year, highlighting its growing importance in the global economy.

Criticism of Bitcoin

A former advocate of Bitcoin, Taleb has since become a vocal critic of the cryptocurrency. His criticism stems from Bitcoin's high volatility, which he argues undermines its potential as a stable alternative to fiat currencies. Taleb's skepticism emerged during the economic turmoil in Lebanon, where he initially viewed Bitcoin as a solution to banking failures. However, his perspective shifted by 2020, leading him to describe Bitcoin as a detrimental force within the economy.

Upcoming Work: The Lydian Stone

Taleb is currently working on a new book titled "The Lydian Stone." This forthcoming work will explore themes related to human misunderstanding of sequences and the concept of time and entropy. The title references a historical tool used to assess the quality of precious metals, symbolizing Taleb's continued interest in the interplay between economic theory and practical application.