Piyush Gupta, CEO of Singapore’s largest financial institution DBS Bank, believes that cryptocurrencies can become an alternative to gold and its role in the current financial system. But Gupta doesn’t think cryptos will become “money as we know it.”
Speaking to The Economic Times, Gupta predicts that Bitcoin could be an alternative to gold. But he points out that given the current volatility, the crypto asset will not become “money as we know it”:
“Another challenge is the volatility experienced in value. You want to pay for something with it and you don’t know what it’s costing you. Today, cryptos are a potential source of speculative value, and it seems unlikely to be a currency as we know it”
Gupta, however, called for global regulation of the industry as central banks should be responsible for designing the regulatory framework.
The CEO of DBS Bank also referred to CBDCs, arguing that their implementation could lead to the “elimination of intermediation” in the banking system.
Gupta also talked about the benefits of blockchain technology. He believes technology has the ability to change the “concept of a centre.”
“It can change how trade finance is handled. It can change the way payments are made, it can change the way exchanges work”
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