{"id":7512,"date":"2021-08-10T04:38:38","date_gmt":"2021-08-10T03:38:38","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=7512"},"modified":"2021-08-10T04:38:48","modified_gmt":"2021-08-10T03:38:48","slug":"bank-of-korea-crypto-will-be-used-as-an-investment-tool","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/bank-of-korea-crypto-will-be-used-as-an-investment-tool\/","title":{"rendered":"Bank of Korea: Crypto will be used as an investment tool"},"content":{"rendered":"\n
With bitcoin (BTC) and altcoins set to \u201creplace legal currencies\u201d in the\u00a0 future, South Korea's central bank, the Bank of Korea (BOK), has issued a surprisingly crypto-friendly assessment.<\/h5>\n\n\n\n
\"Bank<\/figure>\n\n\n\n

There were also some encouraging remarks for stablecoin \r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a>developers and enthusiasts of decentralised finance (DeFi).<\/p>\n\n\n\n

On August 8, the BOK issued a paper titled \u201cThe Possibility of a Paradigm Shift in the Financial Sector Caused by Digital Innovation\u201d (literal translation). <\/p>\n\n\n\n

The BOK's researchers forecasted in the paper that cryptoassets <\/a>would continue to be of interest to the private sector in the future, where it would operate as a “investment and speculative” vehicle, and concluded that BTC and the like would probably not completely replace fiat in the future, primarily due to volatility concerns.<\/p>\n\n\n\n

The authors predicted that crypto would continue to see more \u201climited-purpose\u201d adoption in the private sector, where its functionality would grow independently of fiat currency.<\/p>\n\n\n\n

Per SBS and the Segye Ilbo, the BOK report authors wrote,<\/p>\n\n\n\n

\u201cThe concern is whether or not private cryptographic assets such as bitcoin can replace the role of legal currency in the future.\u201d<\/p><\/blockquote>\n\n\n\n

They used a familiar argument to claim that digital assets<\/a> could become a type of “digital gold<\/a>,” gaining widespread acceptability as a hedge against inflation.<\/p>\n\n\n\n

The writers wrote on the function of stablecoins:<\/p>\n\n\n\n

\u201cAmong cryptoassets, stablecoins, which are designed to maintain a stable value by pegging to fiat currency will have a high potential for use in cryptoasset ecosystems, virtual worlds and metaverses, as well as cross-border remittance scenarios.\u201d<\/p><\/blockquote>\n\n\n\n

The study is not a policy document, but it does represent the views of at least some of the BOK's staff.<\/p>\n\n\n\n

The authors also mentioned the increased interest in DeFi<\/a>, an industrial sector they claim is on the rise, stating that while traditional financial institutions will continue to be most people's go-to resource for “general transactions,” the role of DeFi, which is more specialised, “can continue to grow.”<\/p>\n","protected":false},"excerpt":{"rendered":"

With bitcoin (BTC) and altcoins set to \u201creplace legal currencies\u201d in the\u00a0 future, South Korea’s central bank, the Bank of Korea (BOK), has issued a surprisingly crypto-friendly assessment. There were also some encouraging remarks for stablecoin developers and enthusiasts of decentralised finance (DeFi). On August 8, the BOK issued a paper titled \u201cThe Possibility of […]<\/p>\n","protected":false},"author":13,"featured_media":7519,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[152,2069,132,926],"class_list":["post-7512","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin","tag-bok","tag-crypto","tag-stablecoins"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2021\/08\/image-98.png","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/7512","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=7512"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/7512\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/7519"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=7512"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=7512"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=7512"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}