South African Central Bank Governor: Cryptocurrency is an asset, not a currency

South African central bank governor Lesetja Kganyago said in a recent interview that cryptocurrency is an asset, not a currency. He said: Currency must meet three criteria.

First, it must be a generally accepted medium of exchange.

Second, it must be accepted as a store of value.

Third, it must be a unit of account. Cryptocurrency is a means of storing value and a medium of exchange, but it is not universally accepted. Only those who participate in it will accept it.

Kganyago also talked about regulation and blockchain technology: We will have to regulate cryptocurrencies because people will invest in them and when they lose money, they will ask what the government did. Many of these crypto assets are built on blockchain, and this technology has many other uses. So like many other central banks, we are also experimenting with blockchain technology. (allafrica)