Big Bankers Say Cryptocurrencies Do Not Threat The Global Financial Stability

[Lawrenzoo]

how do they expect us to believe them now, they made us believe Bitcoin was not real some years back and bitcoin turned out to be authentic

[audaciousbeing]

When big bankers are saying that crypto currencies are not threat to the global financial stability, they are not wrong because even without going into the detailed analysis and data they have access to before making such statements, taking a look at the total capitalization value of crypto currency alone shows that its not a force to reckon with as that could be swallowed by the revenue of just one multi national and could be the monthly transaction value of one big bank in the country. However, there is need to put a disclaimer there because it is not expected that the status quo would remain like that till forever because times are changing and the future is almost upon us.

[Mometaskers]

For the time being, no. There are still very few bitcoin users to affect the banking industry and the money that comes into bitcoins are usually exchanged for fiat anyway.

Also so far as BTC is concerned no "free" money is being created that would end up circulating out into fiat economy.

[LUCKMCFLY]

I think that at the time of the approval of ETF, BAKKT, they have taken another way to see bitcoin technology and its whole market in general, they have realized that it is an economy that can not control it, it is not inflationary but deflationary, this is an alternative for the traditional economy, I think that somehow they can protect themselves with some Bitcoin investments and that is why the attack is not like before.

[Tylev]

It is necessary to agree with this. Cryptocurrency has only just begun to develop, while it is owned by several percent of the world's population. Compared to other financial assets, its volumes are also small. However, in the conclusion that the cryptocurrency does not yet pose a serious danger to other funds, it also has a positive side. This means that states and international financial organizations will not take any hostile measures against cryptocurrency.

[Adriano2010]

I also think that crypto coins not affect global economy and also hope a little because people buy and VAT go to economy, there are other problems who affect global economy.

[davis196]

how do they expect us to believe them now, they made us believe Bitcoin was not real some years back and bitcoin turned out to be authentic

OP,I guess you are too easily manipulated by the bankers,if you really believed that bitcoin isn't real.
By the way,what you mean by "authentic"?
What makes a currency(crypto or fiat) authentic or not?

[klaaas]

Not yet but where trust shifts from banks and governments towards crypto it will be for sure. It is already impressive to see where crypto stands today.

[AjithBtc]

I also think that crypto coins not affect global economy and also hope a little because people buy and VAT go to economy, there are other problems who affect global economy.

Considering the world economy what we experience with bitcoin is just a mere percentage of its true form of growth. Global economy of a country won't get any form of dependence on the tools that are required to analyze the network in a much shorter time frame.

[Ranly123]

Big Bankers Say Cryptocurrencies Do Not Pose a Threat to Global Financial Stability

The Financial Stability Board, a global inter-governmental body with over 20 member countries, has ruled that virtual currencies are not a threat to the world economy. The assessment could have an impact on India, whose central bank is part of the board.


FSB Says Cryptocurrencies Won’t Affect Global Financial Stability
While the crypto winter shows signs of dissipating, 2019 may bring good news for the cryptocurrency ecosystem in India. Highly unfavorable regulations imposed by the Reserve Bank of India, the country’s central bank, have forced many companies in the industry to leave or close down.

However, last week’s report from RBI gives new hope to the country’s crypto space, as all signs point to easing its stance on digital assets.

According to Quartz, the Financial Stability Board (FSB) has said that virtual currencies are not a threat to the world economy. The board, established in 2009 in the aftermath of the 2008 global financial crisis, includes finance ministers and central bankers from all of the G20 nations.

The board’s assessment came to light after RBI quoted the agency in a report released last week, Quartz reported. The FSB’s initial assessment indicated that crypto-assets currently do not pose a risk to global financial stability.


India’s Central Bank Could Be Easing Its Stance on Cryptocurrencies
Even though these assessments are not legally binding for any of the FSB’s member countries, they are usually adhered to in order to maintain global standards, said Quartz. With that in mind, the report was well received by the crypto community in India, who see it as a ray of hope for the following year.

India’s central bank has effectively banned cryptocurrencies, forbidding all banks operating in the country from providing services with companies in the industry.

Businesses and traders have been vocal about the need for more regulation in the industry, saying that the lack of transparency when it comes to the legality of the assets opens doors for government abuse.

On December 28, 2018, Pon Radhakrishnan, the minister of state for finance, told the lower house of the parliament that the country still hadn’t set a deadline for any norms regarding the industry.

However, Nischal Shetty, CEO of WazirX, an Indian cryptocurrency exchange, told Quartz that a lack of regulation isn’t always bad news.

    “It probably means that the government of India does not see cryptocurrencies as a matter of immediate concern, or something that needs to be regulated right away. This at least means that fears of a ban are not imminent,” he explained.

Cryptocurrency enthusiasts may want digital currencies to one day replace fiat. Yet, it seems that the G20 is not too concerned. Perhaps this will give crypto more time to flourish under the existing economic framework.


Reference: https://cryptoslate.com/big-bankers-cryptocurrency-not-threat-global-financial-stability/

I think they are right, virtual currency or digital currency should not be a threat to financial stability and should act as an option for economic growth.

[nur rochid]

I also think that crypto coins not affect global economy and also hope a little because people buy and VAT go to economy, there are other problems who affect global economy.

Considering the world economy what we experience with bitcoin is just a mere percentage of its true form of growth. Global economy of a country won't get any form of dependence on the tools that are required to analyze the network in a much shorter time frame.

as long as the government can manage it well, I think crypto and banks will be a solid partner for future economic growth. I think crypto will not threaten the bank if it is properly regulated by the government.

[bittick]

I also think that crypto coins not affect global economy and also hope a little because people buy and VAT go to economy, there are other problems who affect global economy.

Considering the world economy what we experience with bitcoin is just a mere percentage of its true form of growth. Global economy of a country won't get any form of dependence on the tools that are required to analyze the network in a much shorter time frame.

as long as the government can manage it well, I think crypto and banks will be a solid partner for future economic growth. I think crypto will not threaten the bank if it is properly regulated by the government.

Crypto and banks in my opinion will not be a solid partner, I mean it's just hardly except the crypto is their own making, but if the crypto is 3rd party, we are talking about the impossible things, however blockchain is different matter, many of corporations consider blockchain for efficiency and many things, I guess blokchain system will be the one that come to acceptance first.

[CryptoBry]

Crypto and banks in my opinion will not be a solid partner, I mean it's just hardly except the crypto is their own making, but if the crypto is 3rd party, we are talking about the impossible things, however blockchain is different matter, many of corporations consider blockchain for efficiency and many things, I guess blokchain system will be the one that come to acceptance first.

Big bankers may not be seeing the threats posed by cryptocurrency now or maybe they are just good in hiding what they really think inside. I am seeing the possibility that banks or group pf banks would be issuing their own cryptocurrency and I think there is already something like this right now. Cryptocurrency and the banks are strange to each other all because there are properties of banking that the former are also offering and here the control is not anymore with the banks. However, since there is a big potential for cryptocurrency to create profits and wealth, it is quite possible that banks van be involved in the trading of digital assets.

[Seeker#9]

Cryptocurrencies is not yet widely used globally so thereis still no effects in the global economy and the users of virtual currencies are still in minority compared to the fiats. The effects will be felt if governments decided tolegalized cryptocurrencies and allows it to be use in every transaction. The high volatility of the cryptocurrencies will become the main issue of the virtual couns in the future. But it remain to be seen if the cryptocurrencies will become a threat to the global financial stability because it is still limited in use.

[deisik]

Crypto and banks in my opinion will not be a solid partner, I mean it's just hardly except the crypto is their own making, but if the crypto is 3rd party, we are talking about the impossible things, however blockchain is different matter, many of corporations consider blockchain for efficiency and many things, I guess blokchain system will be the one that come to acceptance first.

Big bankers may not be seeing the threats posed by cryptocurrency now or maybe they are just good in hiding what they really think inside. I am seeing the possibility that banks or group pf banks would be issuing their own cryptocurrency and I think there is already something like this right now

That's not very likely

Banks are completely tied up by regulations of the financial authorities and they can't issue their own currencies which are to be universally accepted (think cryptocurrencies here) as that would be a direct violation of the corresponding regulations. In other words, until the government allows them to do that (which is not going to happen in the foreseeable future), you can safely forget about this option

Cryptocurrency and the banks are strange to each other all because there are properties of banking that the former are also offering and here the control is not anymore with the banks

There is nothing strange in that combination. Banks had existed long before paper money not backed up by anything came about

[bitgolden]

I also think that crypto coins not affect global economy and also hope a little because people buy and VAT go to economy, there are other problems who affect global economy.

Considering the world economy what we experience with bitcoin is just a mere percentage of its true form of growth. Global economy of a country won't get any form of dependence on the tools that are required to analyze the network in a much shorter time frame.

as long as the government can manage it well, I think crypto and banks will be a solid partner for future economic growth. I think crypto will not threaten the bank if it is properly regulated by the government.

Basically, it’s the main reason why the attack on cryptocurrency has died down for a while now if you take note, unlike before when it initially first came out, it even got worst in my country that they raise the issue in the assembly and started campaigning against cryptocurrency, but now, we have lots of financial analyst that are discussing about cryptocurrency on media virtually every day.

It is a good thing they are beginning to see that it really doesn’t not threaten the existence of these financial institutions, and what I expect now is for them to start deliberating how to adopt it and also regulate it.

[mazdafunsun]

I find that Banks doe snot have a lot credibility when talking about financial stability.
Banks are those who are to blame for the last stock market  crash due their recklessness in real estate bond market, they are not a good factor.

I would say that one should look for monetary policy stands on national and federal banks.

[rez303]

they were definitely wrong. Venezuelans are feeling proud to buy BTC at low prices and their money is increasing. and then, 2020 BTC again halving again and the value continues to increase. So why does it not affect the stability of global finance? The market capitalization of crypto market is now more than $ 250 billion and the future will rise very high.

[Kemarit]

they were definitely wrong. Venezuelans are feeling proud to buy BTC at low prices and their money is increasing. and then, 2020 BTC again halving again and the value continues to increase. So why does it not affect the stability of global finance? The market capitalization of crypto market is now more than $ 250 billion and the future will rise very high.

Venezuelans have no choice, their banks and economy are falling that's why they have to go to Bitcoin to help them survived, you can also say the same case with Zimbabwe's collapse. The so called threat to Global Financial Stability steam from the idea that it can devaluate any currencies, let's say USD. But that is not what we are seeing right now. Banking systems have been in existence for hundreds if not thousands of year, I'm pretty sure they know how to protect their interest and I doubt that crypto can just steam rolled on them and threaten their existence.

[deisik]

they were definitely wrong. Venezuelans are feeling proud to buy BTC at low prices and their money is increasing. and then, 2020 BTC again halving again and the value continues to increase. So why does it not affect the stability of global finance? The market capitalization of crypto market is now more than $ 250 billion and the future will rise very high.

Venezuelans have no choice, their banks and economy are falling that's why they have to go to Bitcoin to help them survived, you can also say the same case with Zimbabwe's collapse

I'm not sure whether they actually have no choice

And I'm not even certain they are in fact so much interested in cryptocurrencies as we are inclined to think. To me, their currency of choice should be (and likely is) the American dollar. It is totally liquid as well as accepted everywhere, and it is definitely easier to transact with, I mean buy everyday things. This is what Venezuelans need in their circumstances. Bitcoin and company are more suitable for people who are already well off and can afford the inconvenience of cryptocurrencies