Though Bitcoin is capturing the imagination of customers and becoming a part of financial transactions in several countries, Google’s chief economist Hal Varian does not consider it a huge success. He says, “It is partly a medium of transaction, a medium of exchange.” According to him he is far from satisfied about the future of the virtual currency.
Google’s chief economist Hal Varian is of firm belief that something like this technology will take hold in the future but he is not particularly optimistic about Bitcoin because it suffers from being the first in the area. He quoted an American saying, “You can always tell pioneers that they are the ones with errors in their bags.”
Hal Varian Was Talking at ICRIER Sponsored Conference
Hal Varian came to India to participate in a conference, ‘The Information Economy in an Internet Age: New Paradigms for Competitiveness and Economic Growth’. His insights have always been appreciated by market observers who believe that he often comes up with great ideas that contain truth and have potential.
In the event organized by economic policy think tank ICRIER, Hal Varian said that it is quite unsafe to assume that Bitcoin will be an acceptable currency around the world due to practical reasons and short comings. His statement is conforming to what has just happened in China wherein the government directed its banks and other financial institutions not to deal in it.
The Turmoil Year for Bitcoin Has Also Been a Successful Year for It
Following China, even the European Union viewed that Bitcoiners cannot look for the solution from it if they lose Bitcoin while transacting as it is not real money. Norwegian government too came up with similar statement when it said that it does not consider Bitcoin as real money. Earlier in the beginning of the year, Thailand banned Bitcoin from financial transactions.
Expectations are there that considering the potential harm from Bitcoin the Indian authorities might issue an advisory to warn against financial transactions in virtual currency in tune of China. Bitcoin which recently touched the benchmark of $1200 has always been subject to positive and negative opinions coming up from experts.
Bitcoin, a concept that came into existence in 2009, has become very popular of late with its exchange rate surging past $1,000 per unit in November. Early investors in Bitcoin are reaping huge dividends.
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