Piyush Gupta, CEO of Singapore's largest financial institution DBS Bank, believes that Bitcoin and cryptocurrencies will be an alternative to gold. Saying that he believes in the role of cryptocurrencies in the current financial system, Piyush Gupta also thinks that digital assets will not replace the concept of today's money.
The CEO of DBS Bank responded to several popular topics related to cryptocurrencies in a recent interview. Stating that he has the same opinion with Bitcoin supporters, Gupta said that he believes that BTC can become an alternative to gold and the value of gold. However, drawing attention to the volatility of the crypto money market, the CEO also stated that he believes that cryptocurrencies will not replace the concept of today's money due to this volatility.
"Another major obstacle to cryptocurrencies is the fluctuations in their value. When you want to use cryptocurrencies to pay for something, you don't know the cost. Today, cryptocurrencies are a potential source of speculation. Therefore, it is not very possible to replace the currency used today."
Gupta called for global regulation in this area, noting that central banks around the world are responsible for designing a regulatory framework for cryptocurrencies.
The Singaporean CEO also touched on central bank digital currencies (CBDC). According to Gupta, CBDCs could lead to "the disappearance of middlemen" in the banking system. Gupta also said it's only a matter of time before this type of financial product hits the market as it "will have much greater uses."
Danger waiting for Bitcoin and altcoins
The United States (USA) continues to come up with last-minute developments in Russia's bill of sanctions against Bitcoin and other cryptocurrencies in order to circumvent sanctions. A group of democrats, led by US Senator Warren, shocked everyone with the bill they presented with the title "Digital Asset Sanctions Compliance Improvement Act"! With the bill, the target was not only Russia, but all crypto money investors and developers.
While the bill prepared under the leadership of Senator Warren focuses on optimally preventing Russia from using cryptocurrencies to evade economic sanctions, confuse the fact that “cryptocurrency alone cannot save Russia and many countries impose crypto sanctions” in the bill. Because in the regulation, cryptocurrencies were evaluated as helping everyone to evade sanctions. Anyone who publishes open source software or facilitates communication between network participants falls under this definition and risks facing US sanctions.