Governments all over the world are starting to keep a close eye on Bitcoin and other cryptocurrencies. Bank of Mexico governor Agustin Carstens admits the institution has been learning about bitcoin over the past few years. Even though this currency has not been used for central banking operations whatsoever, that situation may soon come to change. An intriguing development, as more and more countries are warming up to the concept of bitcoin as of late.
Mexico Keeps Tabs on Bitcoin And Altcoins
It is anything but surprising to learn regulators continue to be puzzled by Bitcoin and other cryptocurrencies. A form of money that isn’t issued by a bank nor controlled by it raises a lot of questions and pushbacks. So far, Bitcoin has been scrutinized beyond belief by virtually every country on the planet, yet that negative attention did nothing to keep people away from cryptocurrency. In fact, the value of Bitcoin has continued to increase over the past few months, and will seemingly continue to do so.
For Mexico, it makes a lot of sense to take a closer look at bitcoin and other cryptocurrencies right now. The peso is still very shaky and remittance services to the US are still on the verge of being all but shut down. Bitcoin provides a way to route around both problems with ease, while providing an uncontrollable financial asset to everyone on the globe.
Bitcoin is perhaps the only accessible asset in the world to actively provide financial inclusion. Carstens acknowledges this fact as well, as he feels the need for such a solution. Additionally, Bitcoin provides lower transaction costs at the same time. Despite Bitcoin’s technical issues – scaling being the most prominent one – cryptocurrencies will have a role to play in the future of global finance, that much is evident so far.
Although these statements are all positive, it remains to be seen of the regulatory landscape will change in Mexico. There is plenty of reasons to remain nervous about Bitcoin. There are technological issues, exchanges shutting down or getting hacked, and the link to criminal activity. However, the benefits of using Bitcoin will always outweigh the potential disadvantages. Things are not as black-and-white for governments whatsoever, though.
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