Cristina Lagarde: Ignoring the virtual currency “may be unwise”

nnTrap: MF has been concerned about the performance of virtual currency before, and in his staff notice published a series of views. While the organization highlighted the existing problems of virtual currency, it also recognized its potential. IMF president Lagarde has recently publicly stated that the currency may pose a challenge to the traditional currency, can not be ignored, pointed out that the central bank should actively respond to this situation, in the normal operation while accepting innovation.n
nTranslated by: Inan
Christine Lagarde, president of the International Monetary Fund (IMF), believes that the virtual currency may pose a challenge to the traditional currency issued by the government.n
At a meeting in London, Lagarde told the participants that she “ignored the virtual currency may not be wise.”n
It is noteworthy that she states that “countries are weak and currency is unstable” countries may be more directly accept the currency.n
n”These countries will not use another country ‘s currency, such as the dollar, may use more virtual currency.n
nOne of the drivers of this potential development will be consumers who prefer to use “more convenient and safe” than the existing currency. If the virtual currency “can become more stable”, then this situation may be further promoted.n
Lagarde also said:n
n”So in many ways, virtual currency may pose a challenge to existing monetary and monetary policies, and the best response to the central bank is to continue to implement effective monetary policy and to accept new ideas and new developments as the economy grows The demand. “n
nIt is said that Lagarde earlier in his speech pointed out that the virtual currency “volatility is too high, the risk is too high, energy-intensive, and its basic technology can not be extended”, so temporarily will not really threaten the traditional currency.n
So far, the IMF has advocated a balance on monetary regulation, which has been expressed in the staff document in January 2016. Lagarde also expressed support for the chain of financial applications, which is the IMF at the organizational level to explore a theme.n

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