Bitcoin increases risk of bank failures...
The value of the cryptocurrency bitcoin has nearly tripled since the beginning of the year. Jens Weidmann, President of the German Central Bank and one of the most powerful men in the world of finance is a major threat to global financial stability.
According to Weidmann, Bitcoins had the potential to make future financial crises much worse. The head of the Federal Bank at a lecture in Frankfurt said that a week ago. Digital currencies like the Bitcoin could rapidly increase the risk of a bank failure.
Pressure is growing on the banks all over the world
Increases the power of the cryptocurrency and the pressure on central banks around the world grows, because: (to give the average citizen feel that such currencies are stable and secure, central banks could must) provide in the future their own cryptocurrency. And that worries Weidmann.
Central banks in the near future would offer its own digital currencies, it could be granted soon for averages , to pay. That alone is still not a problem. In times of economic crisis, however, this could mean a quick bankruptcy of banks all over the world.
Welcome to Steemit @steemigonzales :)
Make sure to participate in this weeks giveaway to get known in the community!
Here are some helpful tips to get you started:
I think this is why Lumens and Ripple will do well. The banks have too much money to just collapse because of cryptos.
They are established enough to weather this storm and harness it.
Great share! Thanks for posting it!
When the central banks decide to pull the plug and the markets halt for emergency international financial summit is their choice; but central banks already plan to introduce cryptocurrencies with biometrics - look to India as a test case...
I wrote about "Fedcoin" for the USdollar and about China's cryptocurrency.
I am surprised more are not talking about the central banks' blockchain plans.
Excelent information !!