New Deputy Governor of the Bank of England Talked about Cryptocurrencies: It’s Not Gambling!

Sarah Breeden, the new deputy governor of the Bank of England, praised blockchain technology while stating that cryptocurrency investors should be prepared to lose all their assets.

Sarah Breeden, September 12 Tuesday UK Parliamentary Treasury CommitteeIn his statement at a session of Cryptocurrencies hit the ground. With this blockchain technology He did not refrain from praising its benefits.

Investment tool called crypto money has no intrinsic value expressing and Prices may reset at any time The vice president suggested that investors They are ready to lose all their assets warned about:

Cryptocurrencies are an asset class that has no intrinsic value, its price can drop to zero, and therefore investors must always be prepared to risk losing all their money. However, I think the technology behind cryptocurrencies has the potential to benefit the financial system.

The vice president added that blockchain technology can provide an important basis, especially on the way to digital pound extraction. stressed support for central bank digital currency (CBDC) idea.

Breeden said the cryptocurrency industry is currently struggling for financial stability. does not pose a risk but he emphasized that it may have this potential in the future. US cryptocurrency banks that went bankrupt while explaining the risks posed by crypto silvergate And Signature Giving an example, Breeden argued that if there is no solid support behind crypto, it will have no value. While reminding of the potential disasters that could occur, he once again brought up the collapse of Terra’s UST stablecoin.

The vice president, who was on the agenda with his harsh statements as soon as he took office, focuses on policies regarding the regulation of the cryptocurrency sector and the UK’s CBDC will play a critical role in the creation process.

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