Jordan Belfort, dubbed the ‘Wolf of Wall Street’, is shouting that Bitcoin is primed for a crash. The penny stock scammer who was incarcerated for nearly two years in prison and was ordered to pay back more than $110 million in restitution to victims of his pump-and-dump scheme. Belfort told CNBC that the reason the flagship crypto hasn’t crashed yet is due to millenials who have been “brainwashed” into purchasing the digital asset. Belfort claims that when the bubble on the cryptocurrency burst it will be heard round the world.
“I was a scammer. I had it down to science, and it’s exactly what’s happening with bitcoin,” he stated on a cryptocurrency documentary called, “Bitcoin: Boom or Bust,”.
He goes on to say: “The whole thing is so stupid, these kids have gotten themselves so brainwashed…We don’t even know how bad it really is.”
Belfort, who’s seen his life translated to the big screen in the 2013 film The Wolf of Wall Street, speculates that con artist have gathered a hoard of BTC and are attempting to dump them on average retail investors, who are easy to tempt to investing in the hype-driven asset bubbles.
Belfort issued a warning to potential young investors:
“For the average person who’s really — you know, with a good heart, who walks in saying, ‘I just — I want — I do because I believe in it, in the long term thing,’ just f—— run.”
“This thing is going to evaporate like a mirage,” he added. “There’s a lot of really honest people who are going to get slaughtered.”
Belfort has been vocal about his viewpoint concerning cryptocurrency, claim that the virtual coins were a “fraud” and that initial coin offerings (ICOs) were the “biggest scam ever”. He has gone on to claim that the bear down trend which began at the start of the year is because the market had “run out of fools”.