The head of the International monetary Fund (IMF) Christine Lagarde said that the international community should consider the issue of digital currencies by Central banks. She stated this during the Singapore festival of Finance on Wednesday, writes Cointepegraph.
Lagarde said that she is “not completely sure” in the concept of cryptocurrency in a broader sense, however, admitted that the economy could be a place for state of digital currencies or similar tools.
“I believe that we should consider the possibility of issuing digital currency. In the digital economy may be a place for the state, which will deal with the issue of money,” she said.
The day before, the IMF has published a report on the subject issued by the Central banks digital currency, which considered the advantages and disadvantages of a financial instrument.
According to Lagarde, some of the jurisdictions considering the use of the latest inventions from the sphere of Finance to meet their own needs. If the initiatives would be implemented at a decent level, then such digital currency “could be the solution for problems in the field of public policy”, in particular “the spread of financial services”, “security and consumer protection” and “privacy payment”.
The head of the IMF also drew attention to the shortcomings of such tools, stating:
“I would like to emphasize the risks of braking innovation is the last thing we should do. In my opinion, we should approach these risks creatively.”
Earlier, IMF recommended the Marshall Islands to produce a national cryptocurrency, putting that state in a difficult economic situation, in this case, it risks losing access to dollar-denominated financial flows.
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