- Andrew Bailey, the Governor of the Bank of England, has made critical statements about cryptocurrencies, particularly Bitcoin, calling them highly speculative assets.
- Bailey also expressed concerns about stablecoins such as Tether and USD Coin, stating that they do not meet the standards of safe money.
- While acknowledging the growth of the crypto industry, Bailey believes that traditional finance’s significant liquidity will not flow into this sector.
Bank of England Governor Criticizes Cryptocurrencies
The Governor of the Bank of England, Andrew Bailey, has once again made strong statements against cryptocurrencies. Speaking at the London Mansion House, Bailey criticized Bitcoin and other cryptocurrencies, accusing them of being highly speculative assets.
Concerns about Stablecoins
In his remarks, Bailey also raised concerns about stablecoins, specifically mentioning Tether (USDT) and USD Coin (USDC). He stated that these stablecoins do not meet the standards of safe money. Bailey emphasized that all cryptocurrencies do not have the status of money.
Doubts about Liquidity Inflow
While acknowledging the growth phase of the crypto industry, Bailey expressed doubts about the inflow of significant liquidity from traditional finance into this sector. He believes that despite the industry’s rise, the established financial system will not fully embrace cryptocurrencies.
This is not the first time that Bailey has targeted cryptocurrencies. In the past, he has repeatedly expressed concerns about the unreliability of cryptocurrencies and warned that individuals with crypto investments could potentially lose everything.
