Share this article
Bank of England Governor Insists Digital Payments (but Not Crypto) Are Sticking Around
BoE Governor Andrew Bailey said cryptocurrencies "as originally formulated" are not the ideal form of digital currency.
By Danny Nelson
Updated Sep 14, 2021, 11:01 a.m. Published Jan 25, 2021, 6:33 p.m.
Bank of England Governor Andrew Bailey held the central banker's line against cryptocurrency proliferation at the Davos conference Monday.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
At the same time, Bailey, a panelist at Davos' digital currency talk, stressed that digital innovation in payments is here to stay. It's just a matter of finding the right design and governance model for a "lasting digital currency," he said.
"I don't think we're there yet," said Bailey, adding, "Honestly, I don't think cryptocurrencies as originally formulated are it."
Bailey said the problem rests with value and volatility. People want their payments conducted over a stable medium, which the original cryptocurrency, bitcoin, certainly lacks.
Enter fiat innovation. Bailey suggested fiat systems could be made more efficient through digital means.
Advertisement
"We're right still to debate stablecoin, we're right to debate central bank digital currency. Those issues, I think, are very much up for grabs," he said.
More For You
More For You
Bitcoin Jumps to $99K as Spiking Coinbase Premium Points to Strong U.S. Buying
Spot BTC prices were at times $300 pricier on Coinbase relative to Binance, suggesting the rally may be driven by heavy demand from American investors.
What to know:
- Bitcoin surged towards $100,000 on Wednesday's U.S. trading session, gaining 3.2% in the past 24 hours.
- The rally coincided with significant spot BTC price premium on Coinbase.
- Fed Chair Jerome Powell called bitcoin a competitor to gold during a panel discussion.
Top Stories
