Central Bank of the Netherlands: we do not consider cryptocurrency as money


The central bank of the Netherlands has issued new comments on the cryptocurrency this week, continuing a popular narrative of the banking sector that is "not money".

"Spending, saving and calculating"

In a Dutch News video, Petra Hielkema, division director of De Nederlandsche Bank, said that cryptocurrency does not adequately allow three specific functions that consumers need and which are currently met by the legal currency.

"De Nederlandsche Bank does not consider cryptocurrencies to be money," he said.

"… If something wants to be treated as money, you have to be able to spend, save and calculate with it."

Comments follow similar statements from the Swiss bank UBS this week, which stated in a report and a message to customers that Bitcoin, in particular, is not able to consider a global form of money.

"Bitcoin is still too unstable and limited to becoming a viable payment medium or a mainstream asset class," wrote UBS strategist Joni Teves on Thursday CNBC on Thursday.

"Because of its lack of price stability, bitcoin does not meet the criteria that must be met to be considered money."

A Family History Blockchain-Not-Bitcoin

Holland became known as a friendly jurisdiction for the cryptic expenditure of consumers at the beginning of the Bitcoin phenomenon, with several traders who decided to accept it for payments several years ago

In June, the Amsterdam Schiphol airport installed the first ATM Bitcoin in Europe in this position.

Since then, as markets have matured, regulators have taken a more cautious approach, recently voicing concerns about investing in tokens and legal adherence. Meanwhile, like other central banking institutions, Hielkema was palpably more optimistic about Blockchain technology.

"We have been experimenting with technology in the last three years and have developed four prototypes," he confirmed.

The act of defending Blockchain on Bitcoin constituted a central point of criticism within the cryptocurrency industry, the educator Andreas Antonopoulos warned that such a prospect means that a party "does not understand" the space.

What do you think The prospect of De Nederlandsche Bank on cryptocurrency? Let us know in the comments below!

Images courtesy of Shutterstock

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