Bitcoin

The Swedish Central Bank Does Not Consider Bitcoin To Be A Currency.

Sveriges Riksbank (“Riksbank” for short), Swedish central bank, has gone to Twitter to dispute whether Bitcoin is a currency.

Source: Wikimedia Commons

According to the Swedish central bank Riksbank’s official Twitter account, Bitcoin must meet three severe conditions in order to be designated a currency: operate as a custodian (store of value), offer a means of payment, and be a unit of account. While the tweets continue to clarify each issue, the central bank eventually concluded that Bitcoin and other cryptos are assets rather than currencies.

Because of its extreme price fluctuation, Bitcoin, according to Sweden‘s central bank, fails as a “value preserver.” According to the bank, currency users should have faith that the item they are about to purchase will remain largely price stable over time.

The bank also questions Bitcoin’s legitimacy as a payment method, noting that “there is no exact figure on how many companies accept Bitcoin” as payment. As a proxy, the bank compares Coinmap’s listing of Bitcoin ATMs — approximately 29,500 worldwide — to Visa, which is accepted by over 60 million shops worldwide.

The Swedish Central Bank Does Not Consider Bitcoin To Be A currency.

According to the Riksbank, Bitcoin also fails as a unit of account due to its incapacity to act as a store of value or a means of payment. In addition, the central bank points out that governments always price items in their own currency rather than Bitcoin.

“Bitcoin generally does not fulfill the three functions and is thus not money, at least not in the sense that it functions as money in the traditional financial system and in society.” the bank finds. The tweet also applies its logic to other cryptocurrencies, including Ethereum.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Patrick

CoinCu News

Victor

Recent Posts

Best Cryptos to Invest in December 2024: Qubetics Surges Past $2.6M as Solana Records Big Whale Pump and Polkadot Aims for $6

Best Cryptos to Invest in December 2024: Qubetics surges past $2.6M, Solana’s whale pump ignites…

14 minutes ago

Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!

As Bitcoin reaches unprecedented heights and the market surges, he's highlighting five altcoins poised for…

2 hours ago

Which Crypto Will Explode in the 2024-2025 Bull Run?

With the crypto market reaching new peaks, many are eager to discover digital currencies poised…

2 hours ago

Dogecoin and Shiba Inu Approach $1, but All Eyes Are on XYZVerse’s Push to $10!

XYZVerse, blending sports passion with meme energy, is set to make a significant impact, uniting…

2 hours ago

Will Bitcoin Crash or Soar Past $105K in 2024?

Will Bitcoin Crash?" seems to be one of the most controversial questions, as the price…

3 hours ago

The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!

There’s always that one coin people wish they hadn’t overlooked. For many, Cosmos ($ATOM) is…

4 hours ago

This website uses cookies.