During a virtual event organized by Italy’s Bocconi University, Kristalina Georgieva, Executive Director of the International Monetary Fund (IMF), said that Bitcoin cannot be recognized as a currency.
Kristalina Georgieva, Managing Director of the IMF
Georgieva claims that cryptocurrencies like Bitcoin are too volatile to fulfill such a role.
She said 110 countries among the IMF members would at some point look into central bank digital currencies (CBDCs) and a key challenge was to ensure the interoperability of digital currencies.
“In fact, assets like Bitcoin are not backed by constant value assets, they can go up and down dramatically. In the history of money, it is very difficult to see it as money, ”said Georgieva.
As Cointelegraph reported, IMF economists have outlined a number of risks related to the rise of digital currencies.
Georgieva, who has led the IMF since 2019, is currently embroiled in a major scandal involving data fraud to improve China’s ranking while serving as the CEO of the World Bank (WB).
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According to AZCoin News