Romanian central bank official: cryptocurrency is a financial product that cannot play the role of money

Romanian central bank official: cryptocurrency is a financial product that cannot play the role of money

According to foreign media cointelegraph, a central bank official in Romania recently said that cryptocurrency will not replace the legal currency issued by the central bank, because cryptocurrency does not belong to the currency category (not a currency).

The official is Daniel Daianu, member of the Executive Committee of the Romanian Central Bank. He emphasized the need to understand the differences between institutions and institutional roles, and should strive to ensure that these effects do not fade. When Daniel Daianu talked about cryptocurrencies and blockchains, he said:

“In my opinion, such products are financial assets, not currencies, because they will not be able to play the role of money. The cryptocurrency will never replace the legal currency issued by the central bank. The central bank may also have a cryptocurrency, but this The cryptocurrency should be issued by the central bank itself, and commercial banks will receive a multiplier of digital currency. However, we do recognize that new technologies will lead to decentralization, and this decentralization also shows us the network. advantage."

In 2014, Romania became the first branch of the US non-profit organization Bitcoin Foundation in Eastern Europe. In July last year, Romania issued an emergency bill to regulate the issuance of electronic money.

According to reports, the draft describes e-money as "the value of the currency stored electronically, including magnetic currency, representing the issuer's request for the issuance of payment transactions when the funds are received, and other than the electronic money issuer. People accept."

According to a recent report by the World Economic Forum (WEF), at least 40 central banks around the world are using blockchain technology to conduct research projects and pilots to address issues such as financial inclusion, payment efficiency and cybersecurity. In addition, WEF provides ten central bank use cases for distributed ledger technology, including the development of retail central bank currency.

Author: Kiran
Remarks: Bitcoin86 manuscript article, please indicate the source. The article is an independent view of the author and does not represent the standing position.