IMF’s Lagarde Warns Banks: Cryptocurrencies Will Bring “Massive Disruptions”

[domainking131]

The head of the International Monetary Fund (IMF) has stated that central banks and banking providers should start taking cryptocurrencies seriously.

Christine Lagarde, managing director of the IMF was speaking to media at the IMF Annual Meetings in Washington D.C when she said global financial giants risk being blindsided by new financial innovations like cryptocurrencies.

Speaking to CNBC, Lagarde stated:

I think we are about to see massive disruptions.

“The ways in which new technologies are lowering the cost to make financial transactions more accessible, even in very small numbers…I think it’s already massively disruptive,” she added.

Complete article here

 

[tulip]

The article raises important points and the financial industry is definitely bound to experience disruption, as a result of the rise of digital currency. It is interesting that other critics see the cryptocurrency wave as another ponzi-like scheme but still, it remains to be seen how the traditional currency will respond to the projected disruption.