Bank of Korea Governor Lee Ju-yeol has said that crypto-assets like Bitcoin have no intrinsic value – simply put, a measure of what an asset is actually worth.
● Lee spoke in the National Assembly on February 23 that Bitcoin (BTC) will lead to increased price fluctuations in the future, the local news agency Yonhap reported.
● “The price is very difficult to predict, but its price will be extremely volatile,” the bank chief responded to a question from a legislator who wanted to know if Bitcoin’s recent bull run hit a record $ 58,000 temporarily.
● Lee also spoke about the possible reasons behind Bitcoin’s recent rally. He believes that rising corporate interest in BTC, as well as concerns about looming excessive inflation due to too much fiat money printing by world governments, have given crypto a leg up.
● “These assets have grown rapidly in a very short time. I would say that institutional investors’ view of using bitcoins as a hedge could be interpreted as another factor, ”he said.
The central bank governor also announced that the bank is about to complete our review of the designs and relevant technologies related to bank-driven digital currencies, according to a separate report from the Korea Times.
Bitcoin fell more than 17% to below $ 48,000 on February 22nd after Treasury Secretary Janet Yellen criticized the top cryptocurrency as “an extremely inefficient way to conduct transactions”.
What do you think of the Bank of Korea Governor’s Bitcoin comment? Share your thoughts in the comments below.
Photo credit: Shutterstock, Pixabay, Wiki Commons
