A report from the International Monetary Fund (IMF) in September 2022, co-authored by BIS Chief Carstens, identifies three shortcomings that preclude cryptocurrencies from serving as a "sound basis for the monetary system," which shows how fiat money has won the battle against cryptocurrencies.
The fight between cryptocurrencies and fiat currencies, according to Bank for International Settlements (BIS) president Agustin Carstens, is over, with the latter winning. Fiat currency is money that is recognized as legal tender by a government order.
“That battle has been won … A technology doesn’t make for trusted money,” Carstens said in an interview with Bloomberg TV on Wednesday. “Only the legal, historical infrastructure behind central banks can give great credibility” to money, he added. Carstens is anticipating a “strong statement” from the G20 nations for stronger regulation on digital assets, pointing out that crypto as a financial activity can only exist “under c...