Cryptocurrencies don’t meet standards to be recognized as money, Bank of England Governor Andrew Bailey said

The governor of the Bank of England, Andrew Bailey, said that bitcoin and other cryptocurrencies do not meet the standards of money. In his opinion, it is better to classify them as “extremely speculative investments”.

Bailey called improved digital assets the best form of money of the future, he said this during his speech at a business dinner dedicated to financial and professional services in London on July 10.

The Governor of the Bank of England noted that cryptocurrencies and stablecoins do not correspond to the two main signs of money security — unity and finality of calculations.

Unity, as he clarified, means that funds, wherever they are stored (in bank accounts, in banknotes or coins), must have the same value. In other words, it should be possible to exchange them at face value. Finality of calculations means that when we pay for something, we have to be sure that the payment really happened, Bailey explained.

The Financial Regulation and Supervision Authority of the United Kingdom (FCA) has closed 26 crypto banks in different cities of the country for the illegal offer of cryptocurrencies. The regulator warned consumers that they could lose their money.