There are several important representatives of companies and countries, have declared against Bitcoin this due to various reasons. Now, one of the events that has impressed many, is that the German parliament stated that it did not support the use of Bitcoin as money; because of that, the cryptocurrencies of this type are not sufficient to be used as coins real. These statements have their own justifications, which are worth knowing. This in order to understand, the reason that the German parliament does not support the criptomoneda most important of all, or the other.
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According to the German parliament, Bitcoin is not a means of payment competent
The last 28 of October of 2019, the federal parliament of Germany published a statement, which expresses his opinion about Bitcoin and the cryptocurrencies similar to this. In this sense, the greater part of the advertisement is focused to severe criticism, with respect to the operation of the criptodivisas, what these offer, among other. One of the aspects mentioned above, is that the cryptocurrencies as Bitcoin, do not come to offer all of the qualities that gives the traditional money. In fact, in the best of cases only cover some of the functions. This statement was made by the German parliament, in response to a question from the parliamentary group of the FDP. Also, it was explained that the amount of payments and transactions carried out with bitcoins (and other criptodivisas), is much lower that you can run with the money conventional. In addition, these tokens are problematic because they have large fluctuations, so it is not suitable for deposits of value, or bookings.
The stablecoins are not a viable alternative
In the same way in which it is expressed of the cryptocurrencies conventional, also occurred with the stablecoins. This is because, according to the federal parliament of Germany, the cryptocurrencies stable nor are they options, reliable that can complement the official currency of the country. It is important to clarify that the concern about the use of these criptodivisas, is related to the stablecoins depend directly on other assets; this is due to the fact that, linked to an asset to lock in your price. Therefore, the PDA is not considered suitable for use as a reserve, as its price is vulnerable. In this sense, the official statements that were provided, were the following: “it shall Be ensured that the stablecoins not be established as alternatives to the coin state and, hence questioning the monetary system exists.” In a few words, the statements report that the PDA will take measures to avoid that the Bitcoin and other cryptocurrencies (including stablecoins), to be used as a complement of the national currency. This way, you decrease the risk that they may affect the monetary system of the country. On the other hand, the government of Germany stated that there had to meditate if the proposal of Facebook, Libra, would be allowed in the country. This is because, the technical document of the project does not seem sufficient to determine whether it will adapt to its laws; so, you wish to obtain further information in order to make a favorable decision.
How affect these statements at the market, crypto?
Certainly, the statements of Germany have given a lot to talk about, since they show that the country does not support the use of the cryptocurrencies. That is to say, who do not approve of this kind of tokens as a complement of the official currency. However, the country also prohibits the trading or investing in crypto. Therefore, despite the fact that this event causes an effect, this is not harmful to the market, crypto, as such. The following two tabs change content below. I am a young man from Venezuela 18 years, lover of technology, innovation, and economic events that govern the world. One of my passions are cryptocurrencies.