Gary Gensler, chairman of the Securities and Exchange Commission (SEC) addressed the invention and legacy of Bitcoin in a speech.
Also about his last tenure as a professor at the Massachusetts Institute of Technology and senior advisor to the MIT Digital Currency Initiative, Gensler said:
I have come to believe that while there has been a lot of hype in the cryptocurrency space, Nakamoto’s innovation is real. In addition, it has been, and could continue to be, a catalyst for change in finance and money.
Gensler is not a blank slate in the financial sector
Gensler is already known in the financial industry. From 2009 to 2014, after the global financial crisis, as chairman of the Commodity and Futures Trading Commission (CFTC), he developed guidelines for the regulation of derivatives. He was also a key member of the Biden transition team as an investment banker at Goldman Sachs for two decades, where he helped develop plans for US financial regulators.
As a thought leader in the financial services industry, Gensler underpinned one speech despite everything, the critical importance of Bitcoin for the future impact on global financial markets.
Nakamoto has solved two puzzles that have preoccupied cryptographers and other technology experts for decades: first, how to move something of value on the Internet without a central intermediary, and second, how to prevent the ‘double issuance’ of this digital token.
Gensler worried about investors
For Gensler, the main goal of Bitcoin is to create a private form of money that can function without a central intermediary such as central banks or commercial banks. However, the cryptocurrency has not yet reached the standard that is required for money as a unit of account, a store of value or a medium of exchange.
“Crypto assets are primarily digital, scarce vehicles for speculative investments. In this sense, one can say that they are highly speculative stores of value. “
That sounds positive on the whole, because Gensler recognizes Bitcoin and, above all, the influence of cryptocurrencies on global financial markets. However, he continues to worry:
I worry that a lot of people will be harmed.
Bitcoin course on the way to lofty heights
The Bitcoin course itself is unimpressed by such statements and continues to climb the ladder properly – to heights that seemed a long way off in recent months.
The largest cryptocurrency by market capitalization reached the USD 50,000 threshold on Monday – the last time the BTC price moved at this level was around mid-May.
This price move follows a sustained general market rally after Bitcoin fell to just below $ 30,000 in July.
Still, you have to remember – nothing can rise forever. And here, too, you have to assume that a correction will occur at some point. We can remain positive, however, because this correction is unlikely to tarnish the overall bullish picture.
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