Following a policy meeting that recently took place, Bank of Japan Governer Haruhiko Kuroda sounded off on bitcoin is response to reporter questions on Tuesday.
According to Mr. Haruhiko Kuroda, bitcoin simply “cannot be a currency” until it has proven itself to be a reliable in all facets.
“It is not a currency, and I don’t think it is a general means of settlement,” he said, according to The Economic Times. “Without safety or stability in its value, there would be no demand. In that sense, it cannot be a currency.”
The Governor’s comments come in the wake of a series of issues related to bitcoin enterprises, who have time and time again let down their customers. The biggest and closest to home is Mt. Gox. Based in Tokyo, the exchange collapsed earlier this year, losing hundreds of millions of dollars belonging to investors.
Most recently, a Cyprus start-up dubbed Neo & Bee has apparently collapsed as well, running low on capital to keep the business running. The company’s CEO reported discontinued communications and left the country. He broke his silence last week when he said he left Cyprus to find investors, and he’s remained outside of the country due to alleged threats against his family.
It doesn’t end there. There’s a slew of other tales along the same lines (of which I do not have time to recap), so it’s understandable that Mr. Haruhiko Kuroda would take this stance.
The fact of the matter is that bitcoin does need to prove itself. All it needs is time.
