There's a lot of buzz around cryptocurrency and some of the statements by the head of the IMF (Christine Lagarde) are sure to get attention:
In a remarkably frank talk at a Bank of England conference, the Managing Director of the International Monetary Fund has speculated that Bitcoin and cryptocurrency have as much of a future as the Internet itself. It could displace central banks, conventional banking, and challenge the monopoly of national monies
Read more about Christine Lagarde here and here.
Here are a few more of the paper highlights. I really like the next quote, I think this quote hits home when you look at what's happening in Venezuela (and their subsequent crypto adoption):
For instance, think of countries with weak institutions and unstable national currencies. Instead of adopting the currency of another country—such as the U.S. dollar—some of these economies might see a growing use of virtual currencies. Call it dollarization 2.0.
For the ones of us who are in it because we believe in the tech:
And yet, why might citizens hold virtual currencies rather than physical dollars, euros, or sterling? Because it may one day be easier and safer than obtaining paper bills, especially in remote regions. And because virtual currencies could actually become more stable.
And the notion that the larger world cannot ignore what's happening in the digital space:
Instead, citizens may one day prefer virtual currencies, since they potentially offer the same cost and convenience as cash—no settlement risks, no clearing delays, no central registration, no intermediary to check accounts and identities. If privately issued virtual currencies remain risky and unstable, citizens may even call on central banks to provide digital forms of legal tender.
For the full talk, which is well worth reading, go here! There's more than just the virtual currency being discussed.