HSBC CEO calls CBDCs 'new form of digital money,' cryptocurrencies 'nothing new'

HSBC CEO calls CBDCs 'new form of digital money,' cryptocurrencies 'nothing new'

ambcrypto.com
3 min read
fairly difficult
Even with the massive inflow of institutional capital into the cryptocurrency market, many traditional financial institutions have continued to remain wary of this asset class. Joining their ranks was Europe's largest bank, HSBC, as its CEO reiterated his skeptical stance towards crypto, even as he expressed his enthusiasm for CBDCs. HSBC Group CEO, Noel Quinn […]
Even with the massive inflow of institutional capital into the cryptocurrency market, many traditional financial institutions have continued to remain wary of this asset class. Joining their ranks was Europe's largest bank, HSBC, as its CEO reiterated his skeptical stance towards crypto, even as he expressed his enthusiasm for CBDCs.

HSBC Group CEO, Noel Quinn recently authored an article titled "New forms of digital money could spur growth." In the article, he highlighted the bank's commitment towards supporting and developing the concept of CBDCs and the "many risks" that cryptocurrencies carry. He said,

"CBDCs are legal tender backed by a central bank or government authority, which means they are transparent and stable – avoiding many of the risks associated with some other forms of digital money, particularly cryptocurrencies and some stablecoins."

The other merits of CBDCs like those being developed by China include their potential to "spur economic growth" by making payments cheaper and efficient while also boosting innovation in the economic sector. He further added…
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