Former President of Brazil’s Central Bank: Countries Can Create “Something Stronger Than Bitcoin”

The former president of the Central Bank of Brazil, Arminio Fraga, has recently stated that despite the use cases of cryptocurrencies, especially Bitcoin, it cannot completely change the monetary policy of the country as they have the ability to create something better than Bitcoin.

According to a report on Thursday, the former BC President made his statement in an event held yesterday.

During the virtual event tagged ” Economic Recovery, Technology, and Financial Inclusion,” which was organized by Instituto ProPague on Wednesday, Fraga noted that despite the fast-growing popularity of Bitcoin, it does not have the capacity to completely change the traditional monetary system.

He first acknowledged that the emergence of cryptocurrencies like Bitcoin has many interesting features. ” This digital currency thing, I think it was born with Bitcoin and the so-called distributed control models thing, without a central authority. A very interesting, very charming business, with complex technical elements.”

However, the former BC President made it clear that he does not see Bitcoin becoming widely used in the country. He made reference to Bitcoin’s high price in addition to its extreme volatility. He said, ” Bitcoin is expensive and with unstable value.”

He also added that the decentralized nature of Bitcoin has attracted a lot of libertarians who do not wish to do anything involving the government of the country. These libertarians, in his opinion, oppose both the state and its currencies.

In conclusion, Fraga expressed his firm belief that countries have the power to create a national digital currency that is better than Bitcoin. He stated, ” Today central banks have become ‘resolvers’ of all problems. Actually, they are not, but, in fact, they have a lot of power, and that power will continue to be exercised with its great benefits and also with risks.”

While some experts like Fraga are not particularly interested in the idea of investing in Bitcoin, some others are very enthusiastic about it and many strong Bitcoin opponents are recently changing their stance against the cryptocurrency.

One such person is the ex-prudential CEO, James Ball, who stated that Bitcoin should be a staple for every investor.