Since its inception, Bitcoin has been faced with a fair share of critics and critics. Many have opined that bitcoin was just a hype token with no inherent value that would help the economy.
Although the world’s largest cryptocurrency has come a long way in terms of price and functionality, members of the traditional financial world still continued to struggle to see its potential. This widespread sentiment was put on display recently by Bank of England Governor Andrew Bailey who said that it was hard to see any intrinsic value possessed by Bitcoin.
During a recent interview, Bailey talked about the changes in today’s world economy and how new technologies were rapidly changing the economic landscape. He went on to talk about Bitcoin and its resurgence over the past couple of years that inspired many people to jump on board the cryptocurrency bandwagon. The Bank of England Governor was frank in mentioning that he did not see any intrinsic value in Bitcoin although there was an extrinsic appeal to it.
The BoE official added that he was very nervous about people using Bitcoin for day to day payments. According to him, there was an uncertainty factor when it came to cryptocurrencies as they continued to be volatile even in 2020. At press time, Bitcoin was trading for $11,470 with a total market cap of $212.38 billion. A 7 percent price increase in the past week had elevated the cryptocurrency’s daily trading volume to $28.67 billion.
Officials from traditional organizations have always been critical of Bitcoin and compatriots, and the latest comments show that there are no signs of it letting off. Bailey’s comments come at a time when some countries were taking a positive stance towards crypto. Just recently, the European Central Bank had revealed that they were planning to trademark the term ‘digital euro’, a sign that virtual assets were moving towards the mainstream realm.
