Bitcoin could collapse, warns Central Bank of Sweden
“Private money usually collapses sooner or later,” said Riksbank (Central Bank of Sweden) Governor Stefan Ingves at a banking conference in Stockholm. “And of course you can get rich trading bitcoin, but it’s comparable to trading stamps.”
While Bitcoin has gained from the endorsement of names like Elon Musk and Cathie Wood of Ark Investment Management, some central bankers have compared the bubble to 17th-century tulips.
- Survey: 27% of the US population supports Bitcoin as a legal tender
- Visa CEO says he’s smart enough to invest in Bitcoin now
- Russia central bank says bitcoin is a financial pyramid: “your money will be taken away”
The rise of Bitcoin, however, is caused by the problem of the need for trust in central banks. It’s no surprise that its increased adoption and resistance to censorship bother bankers.
Earlier this year, Ingves said that Bitcoin and other cryptocurrencies are unlikely to escape regulatory oversight as their popularity grows.