Binance CEO Sees No Threat to Crypto From Central Bank Digital Currencies — Says CBDCs Will Validate Blockchain Concept

The CEO of cryptocurrency exchange Binance does not see central bank digital currencies (CBDC) as a threat to cryptocurrencies, like bitcoin and ether. “It will validate the blockchain concept so that anybody who still has concerns about the technology will say: ‘Ok, our government is using the technology now,’” he opined.

Contenido

CZ Sees No Threat to Crypto Coming From CBDCs

Binance CEO Changpeng Zhao (CZ) said Wednesday that he believes central bank digital currencies (CBDC) are not a threat to cryptocurrencies, como bitcoin (BTC) and ether (ETH), Reuters informó.

According to the Bank of International Settlements (BIS), nine out of 10 central banks are exploring launching their own digital currencies. The Atlantic Council’s CBDC tracker shows that 105 países are currently exploring central bank digital currencies.

Zhao was asked during a news conference at the Web Summit in Lisbon whether CBDCs could pose a threat to Binance and cryptocurrencies, like bitcoin and ethereum. Respondió:

Is it a threat to Binance or other cryptocurrencies? I don’t think so. I very much think that the more we have, the better.

He emphasized that blockchain technology should be available for CBDCs and adopted by governments.

The Binance CEO opined:

It will validate the blockchain concept so that anybody who still has concerns about the technology will say: ‘Ok, our government is using the technology now.’

"Entonces, all those things are good,” he continued, adding that CBDCs would still be different from native crypto.

Crypto’s Correlation With Stock Market

The Binance chief also mentioned that cryptocurrency has been highly correlated with the stock market. Sin embargo, bitcoin’s volatility recently fell below that of the Nasdaq and the S&PAGS 500, according to crypto data provider Kaiko.

Zhao, whose company invested $500 millón in Twitter when the social media platform was acquired by Tesla CEO Elon Musk, explicado:

In theory, they should be inversely correlated, but today they go the same way, mainly because most of the people who trade on crypto also trade stocks.

“When the Fed raises interest rates and the stock market crashes, they want more cash, so they sell crypto. This is because the user base is still very highly correlated,” the executive concluded.

Etiquetas en esta historia

Do you think central bank digital currencies pose a threat to cryptocurrencies? Háganos saber en la sección de comentarios.

kevin helms

Un estudiante de economía austriaca, Kevin encontró Bitcoin en 2011 y ha sido un evangelista desde entonces. Sus intereses radican en la seguridad de Bitcoin., sistemas de código abierto, efectos de red y la intersección entre la economía y la criptografía.




Créditos de imagen: Shutterstock, pixabay, Wiki Commons

Descargo de responsabilidad: Este artículo es solo para fines informativos.. No es una oferta directa o solicitud de una oferta para comprar o vender, o una recomendación o respaldo de cualquier producto, servicios, o empresas. Bitcoin-Tidings.com no proporciona inversión, impuesto, legal, o asesoramiento contable. Ni la empresa ni el autor son responsables, directa o indirectamente, por cualquier daño o pérdida causado o presuntamente causado por o en relación con el uso o la confianza en cualquier contenido, bienes o servicios mencionados en este artículo.

Leer Descargo de responsabilidad