JustUs founder defends Andrew Bailey over crypto issues
Peer-to-peer lending boss and cryptocurrency promoter Lee Birkett has spoken out on behalf of Bank of England Governor Andrew Bailey after voicing concerns over digital currencies.
Speaking at City UK’s annual conference last month, Bailey said that while new forms of digital money are an important source of innovation, the public interest should not be ignored and ‘love hard’ is necessary.
He also previously told the Treasury MPs Committee that he was “skeptical” about cryptocurrencies because “they are dangerous and there is huge enthusiasm out there.”
Birkett is the founder of the P2P lending platform JustUs and its sister company Moneybrain, which has its own cryptocurrency called BiPs.
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He said Bailey recognizes that people might be moving away from traditional banking in favor of digital currencies, which poses a threat to the banking system, and is therefore working on a digitalized central bank currency.
âBailey has been an honest supporter of digital currency, what he doesn’t like is the anonymous crypto side of it,â Birkett said.
“Crypto has many uses if exploited by good players, he is just wary that there are a lot of bad players, but there are more bad players in the banking system than in the crypto world,” I can assure you that.
âIt’s because cash can be smeared by money laundering. The percentage in cash is much larger than that of crypto.
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âBailey rightly says that there is a huge risk to the economic system, but it’s not going to go away, and the Bank of England needs to step in and have its own currency.
âDigital money is the same as blockbusters replaced by streaming services. These are elements of life that are completely transformed, it is a better experience for customers, providing better value and a better result for them. This is extremely positive for P2P.
âP2P and crypto are the future of banking. “
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