During his recent podcast appearance, Bailey claimed that Bitcoin wouldn’t become a widely accepted form of payment because it is not “practical.”
According to U.Today, the central banker has stated numerous times that Bitcoin has no intrinsic value.
Bailey maintains that Bitcoin is only valuable because people want to own it. “People collect all sorts of things”, he added.
Crypto has faced a lot of criticism from high-profile central bankers during these past weeks. Christine Largade, the European Central Bank president, said that cryptocurrencies are worthless and bemoaned the excessive speculation surrounding the new asset class.
Shaktikanta Das, the Reserve Bank of India governor, stated earlier today that cryptocurrency has no underlying value, echoing Bailey’s remarks.
Meanwhile, Sweden’s Riksbankrecently published a lengthy Twitter thread explaining why Bitcoin and other cryptocurrencies cannot be classified as money.
Bitcoin’s viability as a payment method has long been questioned, not only by central bankers who have been sceptical of cryptocurrencies for years but also by powerful figures in the cryptocurrency industry.
According to U.Today, FTX CEO Sam Bankman-Fried, the second-richest cryptocurrency billionaire, recently stated that Bitcoin “has no future” in the payments sector due to unresolved scalability issues.
