{"id":84430,"date":"2023-09-13T13:35:26","date_gmt":"2023-09-13T10:35:26","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=84430"},"modified":"2025-09-12T17:18:58","modified_gmt":"2025-09-12T14:18:58","slug":"boe-deputy-governor-outlines-risks-and-benefits-of-cryptocurrencies","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/boe-deputy-governor-outlines-risks-and-benefits-of-cryptocurrencies\/","title":{"rendered":"BoE deputy governor outlines risks and benefits of cryptocurrencies"},"content":{"rendered":"<p>The technologies underlying cryptocurrencies have their advantages, and the digital pound could become an anchor for digital money, according to the incoming Bank of England deputy governor, Sarah Breeden, in remarks reported by <a href=\\\"https:\/\/www.coindesk.com\/policy\/2023\/09\/12\/incoming-boe-deputy-governor-highlights-crypto-risks-cites-benefits-at-parliamentary-hearing\/\\\">CoinDesk<\/a>.<\/p>\n<p>\\n\\n\\n\\n<\/p>\n<p>In testimony to Parliament the official explained that unbacked cryptocurrencies have no intrinsic value, as demonstrated by the<a href=\"https:\/\/forklog.com\/en\/news\/terras-death-spiral-how-and-why-luna-and-ust-collapsed\"> \u043a\u043e\u043b\u043b\u0430\u043f\u0441 Terra<\/a>, and the<a href=\"https:\/\/forklog.com\/en\/news\/silvergate-to-liquidate-silvergate-bank\"> Silvergate<\/a> and<a href=\"https:\/\/forklog.com\/en\/news\/fdic-gives-signature-bank-clients-a-week-to-withdraw-funds\"> Signature<\/a> banks.<\/p>\n<p>\\n\\n\\n\\n<\/p>\n<p>In Breeden&#8217;s view, the latter could occur if ties with <span data-descr=\\\"Traditional finance\\\" class=\\\"old_tooltip\\\">TradFi<\/span> strengthen, especially with active use of<a href=\"https:\/\/forklog.com\/en\/news\/what-are-stablecoins\"> stablecoins<\/a> for payments.<\/p>\n<p>\\n\\n\\n\\n<\/p>\n<p>The BoE official stressed that digital assets should not be treated as gambling. Instead, she urged considering them as a financial activity.<\/p>\n<p>\\n\\n\\n\\n<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\"><p>\\n<\/p>\n<p><em>\\&#8221;Given the global nature of these markets, it is important that regulators work together worldwide to promote comprehensive and consistent approaches to regulation and supervision,\\&#8221;<\/em> Breeden said.<\/p>\n<p>\\n<\/p><\/blockquote>\n<p>\\n\\n\\n\\n<\/p>\n<p>The official backed CBDC approval, noting its potential to become \u201can anchor for all money in the digital world\u201d with a caveat about privacy safeguards.<\/p>\n<p>\\n\\n\\n\\n<\/p>\n<p>Earlier, in March, Katy Forchun of the Bank of England <a href=\"https:\/\/forklog.com\/en\/news\/bank-of-england-envisions-coexistence-of-cbdc-and-cryptocurrencies\">allowed<\/a> the coexistence of CBDC and cryptocurrencies.<\/p>\n<p>\\n\\n\\n\\n<\/p>\n<p>Earlier, G20 members <a href=\"https:\/\/forklog.com\/en\/news\/g20-backs-fsb-and-imf-recommendations-on-crypto-asset-regulation\">approved<\/a> recommendations of the Financial Stability Board and <span data-descr=\\\"IMF\\\" class=\\\"old_tooltip\\\">IMF<\/span> on regulation, supervision and oversight of digital assets.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The technologies underlying cryptocurrencies have their advantages, and the digital pound could become an anchor for digital money. This was stated by the incoming Bank of England deputy governor, Sarah Breeden.<\/p>\n","protected":false},"author":1,"featured_media":84431,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[216,1095,1269,36,810],"class_list":["post-84430","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bank-of-england","tag-cbdc","tag-cryptocurrencies","tag-regulation","tag-united-kingdom"],"aioseo_notices":[],"amp_enabled":true,"views":"12","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/84430","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=84430"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/84430\/revisions"}],"predecessor-version":[{"id":84432,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/84430\/revisions\/84432"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/84431"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=84430"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=84430"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=84430"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}