Swiss National Bank (SNB) Martin Schlegel denied the idea of touching Bitcoin as part of Switzerland’s banks, citing a lack of stability, liquidity, and security, according to Local media.
In a conversation with the Tamedia Group, Schlegel cited three major concerns surrounding the cryptocurrencies. The first is their volatility, which he says makes it unsuitable for the long-term amount of care.
“Second, our reserves need to be quite liquid so they can be used quickly for financial policy purposes if necessary,” Schlegel told Tamedia before pointing out the lack of security inherent in being software -based assets. “We all know that software can have bugs and other weak points.”
The words of the President of the Swiss National Bank came amid a growing debate in Switzerland over the NASCENT ASSET CLASS. A recent initiative is to push for an amendment to the Constitution that requires SNB to hold Bitcoin in its reserves next to gold, the article said.
The initiative, Launched in December And led by businessman Yves Bennaim, did not go to the details when it came to Bitcoin allocations but was determined that it should be built from bank revenues. It has 18 months to collect 100,000 signatures on a bid to compromise a nationwide vote on the subject.
Despite Switzerland’s growing acceptance of cryptocurrencies, with different Swiss banks Offer customers related to cryptocurrencySchlegel removed the class of possession as a “phenomenon.” The currencies, he told Tamedia, that in the competition, and Schlegel kept the bank “not afraid of competition from cryptocurrencies,” citing Swiss Franc’s ongoing strength.
