Economist Touts Sovereign Digital Currency Over Current Digital Landscapebr>
Central banks will make digital currency transaction more efficient and eliminate the illicit activity currently associated with cryptocurrencies, a prominent economist said Monday.
Barry Eichengreen, a professor at the University of California, Berkeley, spoke to CNBC Monday and said that cryptocurrencies would not play a major role in sovereign economies. “I think there is a role for central bank-issued digital currencies which are a very different thing than crypto, anonymous currencies,” he said. “The first alternative central bank digital currencies will make transactions more efficient. The second one is a vehicle for money laundering, tax evasion and the like.”
Many nations are exploring creating their own cryptocurrencies, but none has so far issued definite day and date arrival times. It is anticipated that at least a few will bow in 2018.