March 28, 2024

The MBF called cryptocurrencies and CBDC an alternative to traditional finance

Despite caution regarding cryptocurrencies, the International Monetary Fund (IMF) notes that digital assets may become moreeffective alternative to traditional financial products.

</p>

The MBF blog reports that some cryptocurrencies and central bank digital currencies (CBDC) can be a more efficient payment solution than credit and debit cards.

In addition, the MBF reported that some central banks are considering the presentation of CDBC on physical cards, which will contribute to mass adoption.

According to the organization, energy consumption will be crucial for determining the future of money, especially with payment systems using distributed register technology.

According to the official position, cryptocurrencies fromproof-of-work (PoW), such as bitcoin, consume more energy than credit card transactions, and recommended focusing on digital assets with a different concession mechanism.

Earlier, the MBF claimed that the growth of cryptocurrencies poses a threat to financial stability, in connection with which they called on the authorities to act quickly and adopt the necessary rules for the sector.

For these purposes, a guide was issued on the development of a single global system for regulating cryptocurrencies, which is based on creating equal conditions for all parties to the crypto industry.

</p></p>