26 Jun 2018
Tony Richards, RBA's head of Payments Policy Department, has said today, that Australia's RBA is not ready to Issue cryptocurrencies soon. Why is that?
26 June, GKFX – Australia has joined the many other countries whose central banks are examining the potential of a national cryptocurrency, or central bank digital currency (CBDC) as should probably be more properly known.
Tony Richards, Head of the Reserve Bank of Australia’s (RBA) payments policy said in the text of a speech given in Sydney, they would not issue official cryptocurrencies anytime soon because of their volatility and vulnerability to hacking, Reuters reports.
“Nine years after its launch and about five years since it entered the public consciousness, bitcoin continues to have structural flaws that make it unsuitable for many uses, many of which stem from its inefficient verification process,”
Meanwhile, the Reserve Bank of New Zealand (RBNZ) Deputy Governor Geoff Bascand said in the text of a speech at an Auckland conference:
“A breakdown in the financial system can cause enormous economic and social harm. We could not issue a digital currency if it might undermine financial stability,”
“The payments industry is dynamic, which is good. But the Reserve Bank must be a considered prospector in the exploration for digital currency benefits - we have New Zealand’s currency and financial system at stake,”
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