A former chairman of the US Securities and Exchange Commission has launched a stout defence of the bitcoin virtual currency against those who forecast that it is certain to fail.
Writing in American Banker, Arthur Levitt says: “Naysayers love to nay. And the bitcoin sceptics – of which there are many – are at it again,” citing research by Citigroup.
And in the comment, co-authored with Peter Smith, chief executive of Blockchain, a company that provides blockchain technology and bitcoin wallets, he adds: “We have a little secret for all of those who once again have predicted bitcoin’s imminent demise: They’re wrong.”
Levitt and Smith mostly agree that the US and Western Europe are well served by existing financial systems but point out that the established financial industry has left over a third of the world’s population without access to current accounts, savings accounts or credit cards.
“It doesn’t have to be that way,” they write. “Blockchain technology provides the opportunity to rewrite the financial services sector