Mastercard CEO Ajay Banga: Bitcoin Can't Meet the Unbanked
Editor's Note: This article comes fromCointelegraph Chinese (ID: CointelegraphChina), Author: JOSHUA MAPPERSON, reproduced by Odaily with authorization.
Editor's Note: This article comes from, Author: JOSHUA MAPPERSON, reproduced by Odaily with authorization.superiorexpressMasterCard CEO Ajay Banga on Tuesday
Fortune Global Forum Conference
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expressBTC, due to its huge volatility, bitcoin is not an inclusive currency and cannot be used by the unbanked. He also expressed concern about the lack of knowledge among those involved in bitcoin transactions.
“I don’t believe in volatility, or, I’m worried about the lack of transparency — not knowing who is involved in Bitcoin transactions. So, that’s why we believe in central bank digital currencies.”Banga also revealed that Mastercard has a significant patent pool related to CBDCs, which may explain why Banga is so optimistic about central bank digital currencies.When asked about Bitcoin (
) as a potential solution to financial inclusion, Banga claims the cryptocurrency fails to cater to the unbanked, using the curious example of a Coke bottle to illustrate its price volatility:
"Assume that a currency is equivalent to two bottles ofCoca Cola, It may be equivalent to 21 bottles of Coca-Cola tomorrow. Can you imagine someone who doesn't understand finance to trade with this currency? This is not the way to help them conduct financial transactions, it will make them afraid of the financial system. "He argues that if fiat currencies are going to be digitized, they should “facilitate the flow of transactions across borders,” but added that “everyone looks at financial inclusion differently.”He has been staunchly against the opacity of cryptocurrencies for years,
Says any non-government-mandated cryptocurrency in 2017 is rubbish,even。
Compare them to 2018's "snakes", he also said they are not "worthy" of being used by exchanges as an intermediary currency.However, MasterCard has publicly stated that it
Digital currency issued by the state can be accepted
And in 2019, Mastercard appeared to be one of the founding members of Libra, a project launched by Facebook, that was more open to cryptocurrencies at the time. But last October,
The payment provider joins Visa, Stripe and Paypal in exiting the Libra project, the core reason for the exit was a lack of transparency.The CEO proved his point in action, confirming that Mastercard had “significantly invested” in the CBDC, adding:
