German Bundesbank Board Member Carl-Ludwig Thiele has cautioned against Bitcoin, calling it a “speculatory object” issued by “unknown actors.”
In comments given to local newspaper Die Welt am Sonntag, Thiele said consumers should not forget Bitcoin’s past just because its value is now higher than ever. He said:
“Bitcoin is a speculatory object, the value of which changes rapidly. It may have seen steep climbs recently, but things have been different in the past.”
“From our point of view, Bitcoin is not a suitable medium for storing value. Just a look at the highly volatile exchange rate will demonstrate that.”
German bias
Thiele’s comments continue a wary position taken on cryptocurrencies by finance actors in Germany. The past few years has seen various instances of apparent bias come to light from domestic banks, which have appeared to keep Bitcoin businesses at arm’s length.
A prime example is LocalBitcoins, which in 2014 was forced to halt operations in the country due to regulatory uncertainty about its remit (it has since re-entered the market).
Thiele, meanwhile, continued defining Bitcoin as something which he “does not see as a currency” but which is “distributed” by what he calls “unknown actors.”
“Whoever considers Bitcoin as stable as the dollar or euro must bear responsibility for it,” he said, adding the central bank “would not be making any investment decisions on behalf of citizens.”
Blockchain’s story in Germany, meanwhile, strikes a familiar tone of success, with banking and startup partnerships surfacing in increasing numbers. Thiele himself considers the technology “interesting,” Die Welt reports.