BIS Chief Bashes Cryptocurrency Again in Scathing Review of Its ‘Failure’ as Money

The head of the Bank for International Settlements (BIS) continued the establishment’s important stance on cryptocurrency, saying it “cannot assume the functions of money,” BIS reports July four.

Speaking to Swiss newspaper Basler Zeitung final week, subsequently printed by BIS itself, normal supervisor Agustin Carstens cautioned “young people” towards “trying to create money,” drawing comparisons to Bitcoin mining.

“Those who have the biggest incentive in the system of these so-called cryptocurrencies are those who produce the assets – the miners… This incentive, however, is not compatible with maximising the usefulness of money,” he informed the publication.

“Cryptocurrencies do not fulfil any of the three purposes of money. They are neither a good means of payment, nor a good unit of account, nor are they suitable as a store of value. They fail dramatically on each of these counts.”

The BIS had prompted outrage when it published an article coping with cryptocurrency in June, mainstream media broadly reporting its extremely suspicious outlook on the phenomenon versus fiat forex.

Along with an identical considerations over its potential to operate as “money,” the article additionally feared that mass adoption of cryptocurrency might “bring the internet to a halt” and different controversial claims.

Continuing the narrative, Carstens, who has himself come out as a cryptocurrency bear on multiple occasions, mentioned it will unequivocally not have a “happy ending.”

“…No need to beat about the bush on that count. One mustn’t forget that central banks have been providing electronic means of payment for decades,” he continued.

Original article first appeared in https://cointelegraph.com/information/bis-chief-bashes-cryptocurrency-again-in-scathing-review-of-its-failure-as-money

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