According to a new report published on micky.com, the award-winning journalist and financial expert Peter Switzer believes that Bitcoin and the rest of the market are far too volatile to be useful. The founder of Switzer Financial Group advised governments to either ban or strongly regulate cryptocurrency.
In the post, Switzer was quoted saying that Bitcoin didn’t have any real advantage over legacy payment avenues fueled by fiat currencies.
“I can’t see the necessity of a currency that’s too volatile and is primarily used for speculative purposes.
I wonder whether we need a new way for inexperienced investors to lose their money.
I think cryptocurrencies are unnecessary, risky and good for a small group of enthusiasts but the cons, and I repeat the cons, outweigh the pros by a long chalk.
Ban bitcoin and its imitators or simply regulate them, so light is shone on this dark, dark world.”
Cryptocurrencies only seem to serve as a tool for investment and in shady transactions beyond the ambit of regulatory authorities. The journalist and financial expert echoed similar sentiments shared with Joseph Stiglitz.
The American economist believes that the government should get rid of cryptocurrencies completely. So instead of coming up with a new digital payment method that allows for anonymous transactions, Stiglitz pushed for further attention on upscaling the already existing legacy digital payment network.
As reported by BTC Manager:
“Cryptos continue to provide a means of sustenance for many people in countries currently passing through diverse degrees of economic turmoil.
Citizens in Venezuela, for instance, have turned to bitcoin in droves with the country suffering from severe hyperinflation. Virtual currencies are also penetrating remittance corridors for people historically underbanked.”
If you take a look at moves made by big firms/exchanges like Fidelity, Bakkt and Microsoft, a lot of Switzer’s aforementioned points are rendered useless.
Not to mention one of the biggest social networks in the world, Facebook who has just recently announced its upcoming stablecoin, Libra. The announcement has garnered a lot of attention from regulators and government bodies, who wish to stop the coin before it even starts.