Varoufakis - capitalism Is over, replaced by ‘techno-feudalism'

Former Greek finance minister and economist Yanis Varoufakis has claimed that capitalism has effectively ended and been replaced by what he calls an era of “techno-feudalism,” in which major technology companies exert unprecedented control over markets and human behaviour.

Speaking to Euronews at Web Summit Qatar, Varoufakis argued that traditional debates about the future of capitalism miss a more fundamental shift already underway. “Capitalism has already ended and we don’t even know it,” he said, warning that economic power has moved away from competitive markets toward platform-based systems dominated by a handful of tech giants.

Varoufakis also raised concerns about the rapid growth of stablecoins, which he said are quietly reshaping the global financial system in ways that could increase systemic risk. He criticised recent US policy moves, claiming they effectively privatise parts of the dollar system by shifting monetary influence toward private firms.

According to Varoufakis, this trend creates a dangerous feedback loop between public debt and privately issued digital currencies. He warned that trillions of dollars could flow into stablecoins in the near future, increasing the risk of a major financial crisis similar to 2008.

He argued that modern digital platforms no longer primarily produce goods or services, but instead shape user behaviour, simulate markets, and influence consumer choices. Control over these systems, he said, allows companies to direct attention, build trust, and even manufacture demand.

Inequality, Varoufakis added, is increasingly driven by ownership of what he calls “cloud capital” — the digital infrastructure and algorithms that can influence and modify behaviour at scale. This shift, he said, concentrates power in the hands of a small number of firms.

To counterbalance this trend, Varoufakis called for democratising central banks and expanding public access to central bank accounts. He argued that money should function as a public good rather than a privilege controlled by financial and technology elites.

Key Takeaways

• Varoufakis says capitalism has been replaced by “techno-feudalism.”

• He warns stablecoins could increase systemic financial risks.

• He calls for democratising central banks to reduce elite control.

Capitalism has already ended and we don’t even know it, Yanis Varoufakis warns