Cryptocurrencies Can Never Replace Fiat – Says EU report

[thebanker28]

Central banks will not want to concede control to independent crypto if for no other reason than they lose the ability to control the money supply. Right now if a central bank thinks the economy is too hot - they will restrict supply, and increase supply when they think the economy is slow. Thats not easily possible in crypto.

[abasinkanga]

The cryptocurrency revolution is like a giant boulder rolling down a steep hill... The governments cannot stop it.
It will hit them especially where they least expect it... when they least expect it. hehehehe.

So long as the masses embrace it... What can governments do?
Governments are run by people and people love cryptos... eventually every one will own a crypto coin, even government officials. hahahaha!

[Dilerium90]

The European Parliament’s Committee on Economic and Monetary Affairs (ECON) has come up with a report on cryptocurrency entitled “Virtual currencies and central bank’s monetary policy: challenges ahead”. The finding of reports shows that cryptocurrency will not replace fiat currency, even in the long term. https://bit.ly/2NeLgLr

Of course, it is advantageous for the government to say that crypto-currencies will never replace fiat money, but we know that this is not true. The technology of blockchain and crypto currency market is still young. I am sure that in 10 years we will pay with the crypto currency everywhere.

[Patpro]

I don't think crypto will replace fiat as well but both will co-exist and be supplementary to each other. Not everyone in our society can use cryptocurrency because of its nature and so replacing it completely wouldn't be possible

[batang_bitcoin]

1. Remove the shortener link and just give the link alone.
2. Why are they worrying if crypto's will replace fiat? are they coming up to that idea that one day it's possible?

Than electronic money Is Visa or MasterCard a better cryptocurrency?

It's likely what they are saying.

[lucy94]

These days, bitcoin transactions have become relatively more expensive (due to the high amount of transaction volumes in the network), however, they are more secure due to the complicated math algorithms behind the blockchain technology (which also makes them faster than fiat money transactions). Bitcoin is also better than cash, because it’s decentralized, and there is no speculative central authority institution or bank behind it.

[kangen riko]

They mean not bitcoin but crypto made by the government. I think crypto made by big companies will not even be able to compete in the market, let alone replace bitcoin as the foundation of crypto money and the global currency of the future.
It takes a lot of fans to become a global currency as well as a truly sophisticated technology, lots of altcoins are popping up but only bitcoins can survive and dominate the market. And Satosi's dream of making bitcoin a global payment tool is not impossible because there are now many places in different countries willing to accept bitcoin as a means of payment.

[Coinlover9]

Well before the induction of every major technology the same argument has been put forward but as history is testament new technologies will take over and the old one's will have to go it's just a matter of when and not if.every major breakthrough takes time but eventually it succeeds.

[ahiaba.john@yahoo.com]

As long as governments of the nations want to remain relevant, mean Fiat would continue to be in existence but that does not mean crypto currency spread over the world. I think the existence of Fiat make cryptocurrency more natural than artificial.

[sandisunny]

It is undoubtedly true but what if the government decides to go into crytocurrency? So crytocurrency not replacing fiat even in the long term is not something that is predictable, times will definitely change as we delve into the future, so we never can tell what the government will decide to do. One thing i know is that crytocurrency is unpredictable, anything can happen.

[khufuking]

Well here is the thing man, how come you are waiting for cryptocurrency to replace fiat, and at the same time most cryptocurrency holders are just holding cryptos with the aim to make more fiat nothing else, I read a lot into early days of BTC people had one goal and aiming to only increase there BTC holdings when you compare this with what we have today, you will find that people are just buying BTC/any other cryptocurrency not because they believe in them but because they hope that they will make them more fiat . If fiat is  the final goal most people aiming to, then cryptocurrency simply have no chance to replace fiat because cryptocurrency turned into a tool to obtain more fiat, which is just sad .  

[ololajulo]

I dont expect cryptocurrency to replace fiat also. Not only considering the diverse environment factor that has not favoured the internet. Paypal has not and some other exchange units. Crypto is more of an asset most especially bitcoin, which can always hold its value base on demand. More so is the crowdfund purpose, raising different and supporting lots of innovations that will change the world and empower visions.

[LeGaulois]

If citizens want to use Bitcoin, the European Parliament is out of line. They cannot decide what the people want, they cannot force people not to use the crypto. Bitcoin was created to be free of all institutions, including them. In other words, their opinion is not necessary, it is up to them to follow the trend the citizens are concerned.
Bitcoin is still in its early stage, they can't know the future and guess its developement

[guppak]

The European Parliament’s Committee on Economic and Monetary Affairs (ECON) has come up with a report on cryptocurrency entitled “Virtual currencies and central bank’s monetary policy: challenges ahead”. The finding of reports shows that cryptocurrency will not replace fiat currency, even in the long term. https://bit.ly/2NeLgLr

Crypto replaces the fiat is not something that crypto users want. The better is crypto and fiat running side by side. All have advantages and disadvantages. Will complement each other. No need to eliminate each other. This is not desirable.

[lodcoling]

Bitcoin is totally digital currency and fiat currency is moral less physical currency. If bitcoin does not replace fiat currency, there is no harm for bitcoin. And we are not worried about that. We just want to be the main gateway of online payment system where crypto currency and fiat currency stay parallel. Every foreign transaction will settle through crypto currency. People will attracted to bitcoin because they will feel freedom to use it. I think time will come when no fiat or physical money will exist. Only digital currency will exist and all transaction will settle through digital currency.

[zamani12]

cryptocurrencies can never replace fiat currency; i can possibly agree to this assertion for the time been, then again there is need for us to understand that change is a constant thing and the world is evolving rapidly so with time that possibility of replacing fiat currency can be possible.

[MrRiuss]

The European Parliament’s Committee on Economic and Monetary Affairs (ECON) has come up with a report on cryptocurrency entitled “Virtual currencies and central bank’s monetary policy: challenges ahead”. The finding of reports shows that cryptocurrency will not replace fiat currency, even in the long term. https://bit.ly/2NeLgLr

yes, i quite agree with that. each country have their own fiat, so it is a little bit hard to replace it.

[ngamuk tok]

The meaning is not bitcoin, but a coin made by the government. No altcoin can be a global currency except bitcoin. Bitcoin still leads and even no coins made by government or large companies can survive in markets like bitcoin.

[Silenox]

But this is clear, if governments lose control over money they lose control over taxes and people's lives. What will happen is that the cryptos are treated as assets / commodities, it is not all the uses of Blockchain that want to replace the money, there are several projects with other purposes, the focus is the decentralization.

[boakyei]

You just said the truth, cryptocurrency will no way replace fiat currency. A lot of traders and investors think bitcoins and alternative currencies will be able to replace fiat currency.