Nobel Prize-winning economist Joseph Stiglitz said "bitcoin is successful only because of its potential for circumvention, lack of oversight."

"So it seems to me it ought to be outlawed," Stiglitz said Wednesday in a Bloomberg Television interview with Francine Lacqua and Tom Keene. "It doesn't serve any socially useful function."

Bitcoin surpassed $11,000 in a matter of hours after hitting the $10,000 milestone, taking this year's price surge to almost twelvefold as buyers shrugged off increased warnings that the largest digital currency is an asset bubble.

"It's a bubble that's going to give a lot of people a lot of exciting times as it rides up and then goes down," Stiglitz added.

A logo sits on the windows of the offices of La Maison du Bitcoin bank in Paris.
A logo sits on the windows of the offices of La Maison du Bitcoin bank in Paris. Bloomberg News

Bloomberg News