Yesterday CNBC published a Squawk Box interview in which Lloyd Blankfein, former CEO of Goldman Sachs, participated, who considers himself a skeptic of Bitcoin.
Bitcoin is a problem for the financial system
Lloyd Blankfein assured that regulators should be “hyperventilating” in response to the recent success that Bitcoin has had. Why? Well, because crypto undermines the ability of legislators to monitor the financial system.
In fact, Blankfein produced a letter well known to the crypto community when he assured that Bitcoin is perfect for illicit financing.
“You don’t know whether or not you are paying the North Koreans, Al-Qaeda or the revolutionary guard,” he explained. Therefore, he assured that if he were a regulator, he would find himself hyperventilating in the face of the success of BTC and would be preparing to fight it.
BTC is not what everyone thinks
Furthermore, Blankfein questioned some characteristics that crypto investors have attributed to Bitcoin, especially that of a ‘store of value’.
«It is a store of value that can move 10% in one day; that if you lose a code, or lose a piece of paper, it is lost forever; Or, if someone takes it from you, how will you know? So the store of value item is a bit difficult »explained Blankfein in the interview for CNBC.
And when it comes to using Bitcoin as a medium of exchange, the problem Blankfein raises is precisely its anonymity. However, as many will know, BTC transactions are not 100% anonymous and it is precisely for this reason that cash remains the main means of illicit activities.
Therefore, Blankfein considers that regulations are the only thing that will be able to reduce some of the attractiveness of Bitcoin as freedom and lack of transparency will be undermined.
Thus, the former CEO of Goldman Sachs is not the first to criticize Bitcoin and worry about its uses. However, at least for the moment, the crypto has managed to win a greater number of large investors who think otherwise.
Also, once again, we cannot forget that US cash is still one of the main means of engaging in illicit activities so why should we demonize Bitcoin and not the US dollar?
Meanwhile, Bitcoin fell below $ 32,000 and is struggling to hold on to a level.