Gov’t-Issued Digital Currencies Threaten Financial Stability

According to Swiss National Bank (SNB) governing board member Andréa Maechler, private cryptocurrencies have advantages over central bank digital currencies (CBDC), Cointelegraph auf
Deutsch reported Sunday, April 8.

The SNB board member told an audience in Zurich that private-sector digital currencies are better and less risky than nationally-issued versions. Furthermore, she added that a government-issued
cryptocurrency could increase the risk of so-called “bank runs” – when a large number of customers withdraw funds from a bank based on concerns about the bank’s solvency.

Reference: https://cointelegraph.com/news/govt-issued-digital-currencies-threaten-financial-stability-says-swiss-central-banker

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