The Central Bank of Russia (CBR) is studying a proposal to create a gold-backed cryptocurrency, which could be used for cross-border settlements with other countries.
The bold proposal was made by Russia’s State Duma member Vladimir Gutenev. He has suggested initiating discussion to set up national cryptocurrency, denominated in gold.
Commenting on Gutenev’s proposal, the head of CBR Elvira Nabiullina said: “As for mutual settlements, we will consider, of course, a proposal on a cryptocurrency that is tied to gold. But, in my opinion, it is more important to develop settlements in national currencies.”RT
Russia bringing back the gold standard may kill US dollar & solve main problem of cryptocurrencies
1 comment:
A Gold Standard is an arbitrary hobble on increases in the SUPPLY of fiat. A Gold Standard is thus, literally, senseless.
Moreover, one should note that the DEMAND for fiat is artificially suppressed in that only depository institutions are permitted to use fiat in safe, convenient, inherently risk-free account form at the Central Bank. That and other privileges for the banks increase the demand for bank deposits while decreasing the demand for fiat.
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