IMF’s Green Light to launch National Cryptocurrency
The director of digital asset strategies at VanEck, Gabor Gurbacs, recently tweeted the approval of 8 countries by International Monetary Firm (IMF) that can launch their national cryptocurrency. VanEck is a New York-based investment management firm that is trying to push the Bitcoin ETF.
Gurbacs’ tweet reads as:
IMF has given green light to eight nations, to launch a national cryptocurrency and those nations are Russia, Venezuela, Canada and some larger countries, some smaller are on the list as well, he thinks we will see one or two G20 nations emerge as crypto friendly.
A lot of people claimed that they might be adopting something similar to XRP or Apollo for the national cryptocurrency. However, adoption of mainstream cryptocurrencies came out as a rumor since they will be launching their own Central Bank Digital Currency (CBDC).
Obviously, no country in their right mind would actually use the Bitcoin or XRP or any other asset as their national currency, considering the dominant bearish market in the first place. Their CBDC would be centrally distributed currency. They and not going to use a coin where one entity owns more than half of it or other countries own the control an entire supply of it. So it doesn’t make sense to use cryptocurrencies because of the distribution of those currencies.
China, for example, owns a lot of the Bitcoin because of the mining facilities. Further, Ripple foundation too owns and has total control over XRP. Moreover, the implementation of CBDCs might open the opportunities for XRP to be the bridge currency for the national cryptocurrencies. Russia seems quite likely to issue CBDC just to hedge against the USD and more sanctions.
Venezuela, however, has already issued their national cryptocurrency which is Petro. Realistically, if some of the larger countries issue CBDCs, it would be their own central bank-issued currency and not any one of the digital assets. Also, if one of the G20 nations implements a national currency, this would open up a big market for the foreign money trading.
Eventually, this move by IMF will foster the government-issued currencies (basically stable coins). Whereas some reliable cryptocurrencies, while being implemented as the bridge currencies could bring about the mass adoption, leading to a strong market.