Burkhard Balz, a Member of the Executive Board of Germany's central bank, Deutsche Bundesbank, issued a statement in which he makes clear that the cryptocurrencies at the moment "do not pose any risk to monetary or financial stability."
The bank representative admitted that the global digital transformation is here, it’s now and it’s big.
It changes the way we live and work, Balz said.
"Following the hype about crypto-tokens like bitcoin, “stablecoins” – crypto-tokens or accounts whose value is pegged to existing fiat currencies or a basket of currencies – such as Facebook’s Libra have recently dominated the headlines," he added.
Previously, the German government said it didn't see a threat to financial stability. In July last year, the Government said in a response to a parliamentary inquiry posed by right-wing political party Alternative for Germany, that “cryptocurrencies take up too small an amount of market cap to make any sort of special regulatory action necessary.”
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