Bank of England: we will not protect financial institutions from digital currencies

The Bank of England does not intend to protect financial institutions from working with cryptocurrencies, said Deputy Governor John Cunliffe.

So, he called on officials and regulators to accelerate research on new tools in order to identify risks when using them by ordinary citizens. “Lending institutions will have to adapt, but our main task is to ensure a coordinated work when the bank’s business models change in the event of financial and macroeconomic consequences of the introduction of this innovation,” said John Cunliffe, stressing that the authorities need to quickly navigate this issue in order to one day you will not find that there are changes in the private sector that are actually not in line with the policy.

At the same time, Bank of England experts believe that digital currencies can play a role in simplifying domestic and international payments. In particular, central bank digital currencies will allow holders to make online payments in competition with existing methods.