Economist Nouriel Roubini, a man known as “Dr. Doom,” is developing a tokenized asset that aims to be a more resilient dollar. “Our goal is to create a global store of value … which is similar to an alternative to treasuries, or digital assets with payment capabilities.”
Nouriel Roubini’s Tokenized Dollar Alternative
Economist Nouriel Roubini revealed this week that he is developing a suite of financial products, including a tokenized asset called the United Sovereign Governance Gold Optimized Dollar (USG), as a more effective measure against high inflation, climate change and civil unrest. A resilient dollar, Bloomberg reports.
Roubini, a longtime cryptocurrency skeptic, called Bitcoin the “mother of all bubbles.” He teaches at NYU Stern School of Business and owns his own economic consulting firm, Roubini Macro Associates. Known for predicting the 2007-2008 housing bubble burst, his gloomy predictions earned him the nickname “The Doctor.” Doom” in the media.
Dr. Doom is developing new products in partnership with Atlas Capital Team, a Dubai-based real estate investment and management firm. He joined the company two years ago and is currently the company’s chief economist.
Roubini explained that the dollar could be at risk as the U.S. “prints too much money and its adversaries start to de-dollarize.” He detailed:
We recognize that the U.S. dollar reserve currency may be at risk and are working to create a new tool that would effectively make the U.S. dollar more resilient.
His plans have taken the crypto community by surprise, as he has been one of Bitcoin’s most vocal critics for years.
Roubini also detailed his plans on Twitter on Monday. “The digital railroad will have super strict AML/KYC capabilities, so it will be a digital asset-backed security with strict ESG [Environmental, Social, and Governance] Features – Sustainable real estate. So the digital option is just one of those three, it’s the end not the beginning,” he tweeted.
The Economist further elaborates:
First, USG was originally intended as a hedge against inflation, fiat currency devaluation, financial crises, political and geopolitical risks, and environmental risks. This is the core idea, not its digital track.
He added: “Second, the implementation of USG is first and foremost an index where you can write TRS [total return swap]then a fund or ETF [exchange-traded fund]. And finally, as a security token in the end, it’s not backed by steam software like the crap in most cryptocurrencies, but a physical/financial asset, so you always know its market value/net asset value. “
The economist noted that the new dollar would be supported by “a mix of short-term U.S. Treasuries, gold and U.S. real estate (in the form of real estate investment trusts or REITs),” adding that they would likely be less affected by climate change .
According to Reza Bundy, co-founder and CEO of Atlas:
Our goal is to create a global store of value… which is similar to an alternative to treasuries, or digital assets with payment capabilities.
Roubini hopes his new product will appeal to large investors looking for an alternative to the usual mix of stocks and bonds. He noted that sovereign wealth funds, pension funds, and even central banks with large reserves of dollar-denominated assets could be interested.
What do you think of Roubini’s tokenized dollar replacement project? Let us know in the comments section below.
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