Bitcoin is not feasible in reality

     The second "Renmin University Old Doctor Forum" was held in Beijing on November 7, 2015. Cao Yuanzheng, former chief economist of Bank of China, attended and delivered a speech.

In response to the question of "whether Bitcoin has room for appreciation in the future", Cao Yuanzheng said that Bitcoin is technically feasible, but not feasible in reality. He believes that Bitcoin is a super-sovereign currency, and super-sovereign currencies do not have matching monetary policies.

"Who is the central bank of Bitcoin? How to implement monetary policy? This makes all macroeconomics useless," Cao Yuanzheng further explained, "If Bitcoin can be used as a currency, then why can't gold be used as a currency? The reason why gold is non-monetized is because the supply speed cannot keep up with the development speed. This is the reason for the existence of the central bank. Based on this situation, there is macroeconomic regulation of the central bank's monetary policy."