The Governor of the Bank of England is always in demand to give his view on the latest issues in global finance. Mark Carney took his latest speech to a group of financial experts in the U.S. state of Wyoming to explain why he feels a global digital currency is required. Carney stated the reliance on the U.S. dollar is too great in the 21st-century and needs to be replaced by a digital currency not based in any single nation to leave it free from political interference.
Forbes reports the comments from Carney will be seen as shocking to many who have heard his earlier interviews where he derided Bitcoin as a potential bubble that could cause issues for global trade.
Carney’s comments come at a difficult time for digital currency with Bitcoin falling in value over the last weeks of August and President Trump complaining about a currency he does not want within U.S. borders. The latest comments from Mark Carney come as the Chinese Government and Facebook begin the rollout of their own cryptocurrencies they hope will come to dominate the market. China has already begun to work with seven of the top companies in the nation to offer its 1.3 billion residents the chance to trade and purchase using its newly minted cryptocurrency. The giant Alibaba retail group is at the head of the release of the new cryptocurrency released in China.
In contrast, Facebook has taken a different approach by courting world leaders who they hope will work to build the new currency as a global rival to traditional monetary funds. Looking at the release of Libra, many experts believe the cryptocurrency from Facebook will be a positive entrant into the markets with developing nations seen as the obvious starting point for the social media platform.
The Australian-born Governor of the Bank of England has no doubt put himself in the firing line of President Donald Trump after his comments about removing U.S. dollars as the reserve currency of choice. Governments around the world hoard dollars in case of a financial crash but Carney believes this is a problem for institutions such as his. President Trump was recently quoted as saying he believed the cryptocurrency market was based on “thin air” and did not offer the safety of the U.S. dollar.
