European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks #bitcoin

European Central Bank Report On Bitcoin: It’s Likely To Grow And It Poses Risks | Libertarian News

European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks #bitcoin

In an extreme case, virtual currencies could have a substitution effect on central bank money if they become widely accepted. The increase in the use of virtual money might lead to a decrease in the use of “real” money, thereby also reducing the cash needed to conduct the transactions generated by nominal income. In this regard, a widespread substitution of central bank money by privately issued virtual currency could significantly reduce the size of central banks’ balance sheets, and thus also their ability to influence the short-term interest rates. Central banks would need to look at their existing tools to deal with this risk (for instance, trying to impose minimum reserve requirements on virtual currency schemes). The substitution effect would also make it more difficult to measure monetary aggregates and, as a consequence, would affect the relationship between the mo...

Full article: http://www.libertariannews.org/2012/10/31/european-centra...

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@Th3AverageJoe » 20 Nov '12, 1am
@walknash [link] its awesome ahah
@shellnet » 14 Nov '12, 10pm
Weak excuse to regulate BitCoin. [link]
@paesean » 09 Nov '12, 1am
European Central Bank Report On #Bitcoin: It’s Likely To Grow And It Poses Risks | Libertarian News [link] #vfq
@NMLifestyles » 06 Nov '12, 2am
European Central Bank Report On Bitcoin: It’s Likely To Grow And It Poses Risks | Libertarian News - [link]
@tfc92zx » 06 Nov '12, 12am
European Central bank issues report stating that virtual money like Bitcoins pose a risk, mostly to their business. [link]
@thehealthrebel » 03 Nov '12, 8am
#ECB European Central Bank Report On #Bitcoin: It’s Likely To Grow And It Poses Risks : [link]
@ZombiesAreBad » 01 Nov '12, 8pm
RT @_cypherpunks_: #ECB report on #Bitcoin: it's likely to continue to grow, and it poses threats to central banking: [link] (ht @bendiken)
@_cypherpunks_ » 01 Nov '12, 8pm
#ECB report on #Bitcoin: it's likely to continue to grow, and it poses threats to central banking: [link] (ht @bendiken)
@bendiken » 01 Nov '12, 8pm
European Central Bank report on Bitcoin: it's likely to continue to grow, and it poses threats to central banking: [link]
@webbits » 31 Oct '12, 10pm
RT @bitcoinreporter: European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks [link] #bitcoin #money
@ElevenDiabloz » 31 Oct '12, 9pm
RT @Libertarian_New: Article: European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks - The European Central B... [link]
@Libertarian_New » 31 Oct '12, 8pm
Article: European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks - The European Central B... [link]
@georgespessoa » 01 Nov '12, 2am
RT @BitCoinReporter: European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks [link] #bitcoin
@jackjashua » 01 Nov '12, 2am
RT @BitCoinReporter: European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks [link] #bitcoin
@BitCoinReporter » 31 Oct '12, 10pm
European Central Bank Report On Bitcoin: It's Likely To Grow And It Poses Risks [link] #bitcoin