Central banks facing the challenge of bitcoin

central bankers were also threatened by the uberisation of the economy? In a similar way, maybe that's what happens with bitcoin. Unlike the euro or the dollar, electronic money, the issue of which is controlled by a computer program, escapes the control of states and monetary institutes.

We understand that they are worried. Since the end of the gold standard, they are the undisputed masters of the currency. Admittedly, the latter is essentially created by commercial banks, by the game of credit. But the central bankers control this creation by determining, by their interest rates, the rent of money. They are also responsible for printing the tickets. Does bitcoin threaten this monopoly?

Not yet. Its use remains confidential. The strong instability of its course prevents it from fulfilling the three key functions of a currency: to act as an intermediary in exchanges, to constitute a store of value and to embody a unit of account for economic calculations. But that will come, say the bitcoin lawyers, promising that it will stabilize within a few years.

Will savers trust? One day, maybe good. After all, Zimbabwean individuals are already rushing to bitcoin as a safe haven, to protect their economies from the inflation that is flaring up in their country and to circumvent capital controls.
Risk of inequalities

But do not be misunderstood: Bitcoin is not just a form of money. It is based on a technology, the blockchain, to code and list all transactions made in the e-currency, within what is equivalent to a giant database. This technology can revolutionize the way in which money transfers are made. Its traceability calls into question the usefulness of intermediaries such as banks.

Difficult...