The Governor of Spain’s central bank has said that cryptocurrencies present ‘more risks than benefits,’ but believes in the potential of the blockchain.
According to a local report by EuropaPress, Luis María Linde, was speaking earlier this week when he said that:
“In my opinion, their current use (of cryptocurrencies) presents more risks than benefits: they have low acceptance as a means of payment, suffer extreme volatility, present multiple operational vulnerabilities and have been related to fraudulent or illicit activities in many cases.”
In reference to ‘cryptotokens,’ Linde said ‘those spurious novelties that do not provide significant improvements should be tackled as soon as possible.’ However, while he doesn’t appear to have much faith in cryptocurrencies, the central bank’s governor spoke of the potential that the distributed ledger presents, claiming that it ‘offers interesting possibilities.’
Broadly speaking, though, he argued that the digitisation of the financial sector could present ‘great opportunities’ to increase efficiency and improve financial services as a whole. However, he added that this was provided the innovations are ‘well used and managed.’