Crypto Critic Roubini to Work on Creating Tokenized Dollar

UTC by Tolu Ajiboye · 3 min read
Crypto Critic Roubini to Work on Creating Tokenized Dollar
Photo: International Monetary Fund / Flickr

Nouriel Roubini plans to bring about a tokenized US dollar – United Sovereign Governance Gold Optimized Dollar – as a stable inflation-proof hedge.

Eminent Iranian-American economist Nouriel Roubini is advocating for a tokenized version of the US dollar as a “stable asset.” According to Roubini, an avowed crypto critic, the “United Sovereign Governance Gold Optimized Dollar” will act as a hedge against inflation.

Roubini and his team at Atlas Capital Team LP are not optimistic about the dollar’s status. According to them, global circulation could soon begin to weaken. This may be because of the central bank’s continuous printing, or deliberate de-dollarization attempts by countries like Russia and China. In Roubini’s opinion, this spells bad business for the US dollar and its global reserve currency status. In addition, it also raises concerns once again about the pervasive inflationary concerns that the American government is currently facing.

Nouriel Roubini and his team have already begun work on plans to bring about the proposed tokenized dollar. Describing the asset as “a more resilient dollar,” Roubini also stated that it would be an effective way to promote financial inclusion. In the economist’s opinion, many people lack exposure to the traditional dollar and require a “stable portable value”. Roubini also suggested bigger plans for the more resilient dollar. According to him, the asset’s stability should be capable of replacing the diminishing value of other people’s own local currency.

Roubini to Team Up with Mysten Labs on Tokenized Dollar Project

On the tokenized dollar initiative, Roubini’s Atlas Capital will be collaborating with Andreessen Horowitz-backed Web3 developer Mysten Labs. Both Atlas Capital and Mysten Labs will focus on creating the underlying technology that powers and sustains the “United Sovereign Governance Gold Optimized Dollar”. Speaking on the initiative in a media session, Atlas co-founder and CEO Reza Bundy said:

“Our goal is to create a global store of value, this is something akin to a substitute for Treasuries, or a digital asset that has payment features in it.”

Currently, there are only a few technical details to go by surrounding the tokenized dollar project.

As the traditional financial landscape continues to evolve, Atlas Capital admitted uncertainty about central bank digital currencies (CBDCs). However, the New York-based global macro-economic consultancy firm also assured that “the future of money is digital and away from cash”.

Nouriel Roubini co-founded Atlas Capital and joined as chief economist in July 2020. In addition to this, Roubini is also chairman and chief executive officer at Roubini Macro Associates LLC, and has served in this capacity since June 2016. Furthermore, according to his LinkedIn profile, the crypto critic taught as a professor of economics at the New York University Stern School of Business between July 1995 and May 2021.

Roubini on Crypto

Back in 2018, Roubini harshly criticized digital currencies before a senate hearing, referring to crypto as the “mother of all scams”. In addition, the economist also tagged blockchain as “the most over-hyped technology ever.”

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Tolu Ajiboye
Author Tolu Ajiboye

Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge. When he's not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.

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