The governor of the Bank of England fears that Bitcoin in El Salvador is legal payment - regulation
The governor of the Bank of England fears that Bitcoin in El Salvador is legal payment - regulation
The governor of the Bank of England, the country's central bank, has expressed concerns that El Salvador Bitcoin chooses as a national currency. Citing a recent warning of the International Monetary Fund (IMF) before using Bitcoin as a legal means of payment, the governor said: "What would worry me the most is that the citizens of El Salvador understand nature and volatility of its currency."
The governor of the Bank of England is concerned that Bitcoin in El Salvador is legal means of payment
The governor of the Bank of England (Boe), Andrew Bailey, expressed concerns about the use of Bitcoin as a legal means of payment in El Salvador when he spoke on Thursday before the University of Cambridge. Bailey explained:
It worries me that a country would choose it as a national currency ... What would worry me the most is that the citizens of El Salvador understand nature and volatility of its currency.
el Salvador passed a Bitcoin law in September that makes cryptocurrency a legal means of payment in addition to the US dollar.
Governor Bailey added that the International Monetary Fund (IMF) is not happy that El Salvador has made btc Means of payment.
The IWF said last week that Bitcoin" does not use as a legal means of payment should become ". Care for the "high price volatility of Bitcoin", the fund stated that the use of btc Consumer protection, financial integrity and financial stability. " In addition, “consumption liabilities also consists of use.”
The warning of the IMF came a day after the President of El Salvador, Nayib Bukele, had announced a plan for the construction of the world's first “Bitcoin city”, which was driven by a volcano and financed by Bitcoin bonds.
Despite the warning of the IMF, El Salvador Bought to use the crypto extracts on Friday after reports on a new Covid 19 variant.
governor Bailey also commented on the work of the Bank of England when deciding whether to issue its own digital central bank currency (CBDC). He emphasized:
digital currencies speak for themselves, but in our view they have to be stable, especially if they are used for payments. This does not apply to crypto assets.
The Salvadorian president reacted on Saturday via Twitter to the concerns of the governor of the Bank of England.
He wrote: "The Bank of England is 'concerned' about the introduction of Bitcoin by El Salvador? I think the interest of the Bank of England is real. Right? I mean, they always took care of our people. Always. I have to love the Bank of England." Bukele further tweeted:
I'm really worried that the Bank of England prints money out of nowhere.
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