BIS official insists Bitcoin fails payment method test, calls El Salvador's BTC law 'interesting experiment'

Benoit Coeure, a Bank for International Settlements (BIS) official and former European Central Bank (ECB) board member, insists bitcoin has failed its test as a means of payment. He calls El Salvador's move to make cryptocurrency legal tender an "interesting experiment." Official BIS Suspects Bitcoin May Work as a Payment Method in El Salvador Benoit Coeure, head of the Bank for International Settlements' (BIS) Innovation Center, commented on El Salvador's move to make bitcoin legal tender on Friday. At the opening of a regulatory research center at the Bank of England (BoE), El Salvador, this is a really interesting experiment. Benoit Coeure, member of the BIS executive committee, was appointed head of the bank's innovation center in 2020. Prior to that, he was a member of the European Central Bank (ECB) Governing Council. He chaired the BIS Payments and Market Infrastructures Committee from 2013 to 2019. El Salvador became the first country in the world to adopt bitcoin as its national currency alongside the US dollar, after Congress passed a bill on Wednesday to make the cryptocurrency legal tender. The country is now exploring mining using energy from volcanoes. Coeure emphasized: “We have been clear at the BIS that we do not see bitcoin as a test of being a means of payment. Bitcoin is a speculative asset and should be regulated as such. The BIS official is not alone in voicing his concerns about bitcoin as legal tender in El Salvador. The International Monetary Fund (IMF) said on Thursday that "the adoption of bitcoin as legal tender raises a number of macroeconomic, financial and legal issues." Meanwhile, many countries, including the United States, are stepping up their efforts to regulate cryptocurrencies. This week, financial regulators for major economies proposed additional capital rules for banks with crypto assets. What do you think of Benoit Coeure's courage?

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