Will cryptocurrencies usurp central banks' role as monopoly suppliers of money, and what implications would that have for financial stability? Interestingly, a number of different answers to these questions are emerging, as monetary policymakers become either cautious fans or committed foes.
LONDON – A few days ago, President Nicolás Maduro of Venezuela announced that his government had launched a new state-sponsored cryptocurrency called the petro. He claimed that $735 million worth of the new currency had already been sold, though observers are skeptical, unless state entities have been obliged to buy them. Even they will find it hard to do so, however, as the technology platform on which the petro will be traded has not yet been confirmed.
LONDON – A few days ago, President Nicolás Maduro of Venezuela announced that his government had launched a new state-sponsored cryptocurrency called the petro. He claimed that $735 million worth of the new currency had already been sold, though observers are skeptical, unless state entities have been obliged to buy them. Even they will find it hard to do so, however, as the technology platform on which the petro will be traded has not yet been confirmed.