Cryptocurrencies May Be the Future- Says the IMF Head

Christine Lagarde senses a future for cryptocurrencies. She said just the way we use phones and tablets, the use of cryptocurrency will be inevitable.

The International Monetary Fund’s (IMF) managing director sees a major potential in the replacement of our traditional money into virtual currencies in the future. Powered by blockchains, virtual currencies or cryptocurrencies are considered to be the future digital assets. Bitcoins and Ethereum’s are the ledgers distributed these major networks.

Ray Dalio- a billionaire Hedge Fund founder, JPMorgan Chase- CEO Jamie Dimon disapproved the world’s most well-known cryptocurrency. In spite of the disapproval, Lagarde is totally for the virtual currencies and has raised a vision of this technology with the member of the Bank of England in a conference in London. She said the cryptocurrencies may replace the current currencies and the monetary policies.

She also mentioned that dismissal of such currencies may not be wise enough since the citizens might prefer it in the coming decades and also, in the third talk of hers, she had a vision that stated the reshape of the finance technology all around the world in 2040 in the matter of cryptocurrency. She mentioned that the engineers might work in terms of technical issues concerned with the processing of payments in the future through these cryptocurrencies which in turn leads to gaining popularity of the virtual money.

The question of holding of virtual currencies instead of physical sterling, euros and dollars by the citizens arose. Lagarde insisted that the digital currencies are much safer and easier, especially in the backward regions than receiving a paper bill. Digital currencies are likely to become more stable.

Lagarde’s predictions about the future of cryptocurrencies shared the same views as that of Abigail Johnson- Fidelity CEO who also said he is a firm believer of the digital currencies in a digital conference this year.

She also touched on the topic that involved a disruption of the normal banking business model with an entrance of the artificial intelligence and FinTech Upstarts.