Swiss Central Bank Exec: Crypto ‘Too Primitive’ to Issue State Digital Currency

Board director of the Swiss National Bank (SNB) Thomas Moser said that cryptocurrencies and blockchain technology are too primitive to consider issuing a state-backed digital currency, local news outlet swissinfo.ch reported June 21.

Speaking at the Crypto Valley blockchain conference in Zug, Moser compared blockchain in its present condition with the “useless innovation” of compact discs (CDs):

“Something similar has to happen with bitcoin. People will only switch to something new if it works better or is cheaper.”

Moser, who was appointed to the board of Switzerland’s central bank in 2010, admitted that blockchain technology has potential, but only when it “looks very different from what it does today.” Given the current state of technology, Moser cannot envision an “e-franc” anytime soon.

At the same conference, member of the Swiss Federal Council Johann N. Schneider-Ammann said that someday blockchain will  “penetrate our entire economy.” Schneider-Ammann stated that the country does not know enough about the potential risks, adding that expanding blockchain education is critical…

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