Bitcoin and other cryptocurrencies cannot replace the U.S. dollar because they fail the basic test of what a currency should be. That’s what John Williams, the incoming head of the Federal Reserve Bank of New York, insists.
“Cryptocurrency doesn’t pass the basic test of what a currency should be,” Williams said on April 20, as reported by CNBC. “[Currency is] basically something with a store of value [and bitcoin is not that].” Williams, who’s currently president of the Federal Reserve Bank of San Francisco, is the presumptive next president of the Federal Reserve Bank of New York. The crypto-skeptic slammed virtual currencies, saying they can never replace paper money because they are riddled with problems.