Bank of England Governor Andrew Bailey said that in the long term, the current generation of cryptocurrencies are doomed to failure due to lack of stability and reliability.
Speech at the online panel of the WorldEconomic Forum dedicated to digital assets, he gave a skeptical forecast about the future of cryptocurrencies. According to Bailey, they do not have the potential to survive in the long term, but they will bring the necessary innovations to the digital payments industry, such as high speed and low cost.
The main disadvantagesexisting cryptocurrencies managerThe UK central bank considers its design, structure and internal mechanisms to be poorly developed. Adding that the level of current transaction confidentiality is of concern to regulators, and their use as a means of payment does not provide the necessary stability.
Therefore, he predicts that the best innovations will ultimately form the basis of fiat-based projects. However, there are still many problems to be solved for this.
Recall that recently, the chief market strategist of one of the world's largest financial conglomerates, Barclays, called Bitcoin an unsuitable investment option.
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