Crypto is Unsuitable as Money, BIS Informs G20 Nations
The Bank of International Settlements [ BIS ] recently submitted a report to finance ministers of the world’s 20 largest economies [ G20 ]. The Bank pointed out the structural flaws present within the crypto ecosystem and went on to highlight why the digital asset class should not be used as MOney . Specifically, the BIS report focused on three key takeaways. First, it characterized the “congestion, and high fees” within the crypto ecosystem. According to the BIS, this leads to “fragmentation.” Usually, the fees paid by users for a transaction depend on the demand by other co-users and traffic on the blockchain at a particular time. Therefore, the fees kept fluctuating. Source: Etherscan Also Read: Bitcoin’s 2023 Correlation with Cardano, Shiba Inu, XRP Dips Other Crypto, DeFi Flaws Secondly, the BIS pointed out that despite “an original ethos of decentralization” crypto and DeFi present various risks. This is because they ...