New Zealand Central Bank Not Threatened by Bitcoin Popularity

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New Zealand Central Bank Not Threatened by Bitcoin Popularity

FoexMinute.com – While most of the nations planned on taking stiff regulatory action against digital currencies, New Zealand Central Bank seemed a little lighter on the matter, saying that they do not feel threatened by the rise of Bitcoin. The statement was voiced by NZ Reserve Bank’s Deputy Commissioner Grant Spencer when his speech at Payments New Zealand conference alluded to virtual cryptocurrencies.

“As the currency issuer, the Reserve Bank does not feel threatened by Bitcoin which seems to behave more like a commodity than a currency,” he said. “However, I do not doubt that future digital currencies will become more realistic substitutes for cash.”

Putting rationalistic point-of-views to justify his statement, Spencer referred the era of cash and checks which was poised to be updated with the growing internet and ecommerce culture. That era is now transformed into online, contactless and mobile phone applications, he added.

On the other hand, Spencer also repeated the words articulated by most of his fellowmen all across the world, about safety and security of the payment mechanisms like Bitcoin that is highly vulnerable to cyber-thefts and other misconducts. He meanwhile recognized the growing landscape of virtual payments by mentioning the arrival of bigger companies like Google, Apple and PayPal to it. He indirectly indicated New Zealand to be a friendly nation for such companies, if only their rules are “approved by the bank and the Financial Markets Authority.”

The “alleged” invitations are also meant for Bitcoin businesses if only they are ready to comply with the Reserve Bank’s regulatory framework. New Zealand was, and always will be a place to enjoy economic freedom, where Bitcoin and altcoin businesses can flourish without much complaints.

To contact the reporter of the story: Yashu Gola at yashu@forexminute.com