THELOGICALINDIAN - The governor of the South African Reserve Bank SARB Lesetja Kganyago has common the axial banks longstanding acceptance that cryptocurrencies like bitcoin are not currencies According to Kganyago cryptoassets as he prefers to alarm them are not currencies because they abort to accommodated the accepted of what constitutes a currency
Crypto and the Currency Test
In contempo remarks to Mills Soko, a assistant at a South African university, Kganyago asserts cryptocurrencies like bitcoin alone partially accommodated one of the three key characteristics of a currency. Kganyago explained:
However, admitting adopting this attitude against cryptocurrencies, the SARB governor insists the axial coffer charge still adapt these assets because “people go and advance in cryptos and back they lose money, they ask what government has done about it.”
Blockchain Technology Useful
Predictably, Kganyago, aloof like abounding of his peers, praises blockchain technology adage it “can be advantageous in abounding added respects.” The governor additionally reiterates that SARB, aloof like axial banks about the world, is experimenting with blockchain technology.
When asked if the SARB affairs to adapt fintech firms in the aforementioned way banks are regulated, Kganyago argued that if the activities of such companies alpha to resemble those of adapted entities, the axial coffer will accept no advantage but to regulate. He said:
Still, Kganyago claims that the SARB understands “the amount that the fintech firms accompany to the banking sector.” According to him, it is for this acumen that the axial coffer has “created an addition hub at the Reserve Bank.”
Do you accede with what Kganyago has said about cryptocurrencies? Tell us what you anticipate in the comments area below.
Image Credits: Shutterstock, Pixabay, Wiki Commons, Felix Lipov
