IMF to discuss the outcomes of the possible Bitcoin legalization
Industry News
The fast-growing power of digital currencies headed by Bitcoin is not a surprise for the community. The international institutions understand that traditional finances cannot ignore the existence of the new class of assets. This is why experts predict the inevitability of the upcoming massive adoption of cryptocurrencies.
In the meantime, Rhoda Weeks-Brown, the IMF General Counsel, highlights the possible consequences of Bitcoin legalization. She accepts the fact that digital assets are able to simplify and speed up transactions, cutting their costs. On the other hand, the integration of digital currencies is related to challenging political decisions.
The Monetary Fund’s General Counsel assumes that some countries may accept digital currencies instead of the CBDCs. Furthermore, Ms. Weeks-Brown calls many assets secure and easy-to-access; meanwhile, she is convinced that risks and expenses are higher than possible benefits.
Furthermore, the IMF representatives accentuate Bitcoin volatility, naming the first crypto a speculative asset.
What does it mean? IMF, the EU Central Bank, and other powerful international institutions related to finances admit that digital currencies are a real force in the economic sector. Cryptocurrencies are much better than fiat ones (even if we are talking about CBDCs). As for volatility, stablecoins seem to be the best solution.
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