According to ChainCatcher news, Ravi Menon, Director of the Financial Supervisory Authority of Singapore (MAS), said in a keynote speech at the Singapore FinTech Festival that stablecoins and central bank digital currencies (CBDC) (rather than cryptocurrencies) will become part of the future financial ecosystem.
Menon said cryptocurrencies failed the digital currency test because “they performed poorly as a medium of exchange or store of value, and their prices were susceptible to wild speculative swings, with many cryptocurrency investors suffering significant losses.” MAS Consider well-regulated stablecoins as a promising digital currency that can complement CBDC and tokenized bank liabilities.
Menon said cryptocurrencies failed the digital currency test because “they performed poorly as a medium of exchange or store of value, and their prices were susceptible to wild speculative swings, with many cryptocurrency investors suffering significant losses.” MAS Consider well-regulated stablecoins as a promising digital currency that can complement CBDC and tokenized bank liabilities.