Why Bitcoin is Not “Regulated into Oblivion”? Explains Facebook’s David Marcus
- Bitcoin isn’t a currency, “It services a completely different purpose,” Facebook’s Crypto boss
- It’s digital wallet Calibra can give people “more access to bitcoin”
It’s no hidden fact that David Marcus, who is leading Facebook’s cryptocurrency project Libra is a fan of Bitcoin.
On several occasions, he had pointed out his “appreciation for Bitcoin” that has been only growing.
In an interview on CNBC, he also stated that he has been looking into the world’s leading cryptocurrency since 2012 and is a “big fan of Bitcoin.” Marcus further said he sees BTC as digital gold.
Bitcoin isn’t a Currency
Taking on similar lines, during the recent New York Times DealBook Conference in New York Marcus said,
“I don’t think of Bitcoin as a currency. It’s not a great medium of exchange because of its volatility. I see it as digital gold.”
For cross border remittances, the families can’t afford a 10 to 20% drop a day when sending money abroad and this is why it isn’t a good medium of exchange, he explained.
“It’s a very popular thing to hold right now, and you can hold bitcoin, which is a good corollary, a digital version, but it’s not a good medium of exchange. People don’t use a unit like digital currency like bitcoin to pay for things because it is so volatile,” he said. “It services a completely different purpose.”
Calibra can give People more Access to Bitcoin
Bitcoin’s long term purpose is not spending but to be held, said Marcus. According to him, the fact that it leans more towards a store of value than a medium of exchange is exactly why the regulators haven’t banned it.
“I think it has survived now for eleven years,” said Marcus.
“And it has gone through a lot. I think the main reason it has not been regulated into oblivion is really the fact that it is not perceived to be a medium of exchange and as a result, if you look at it as a way to invest your money, it’s an investment class that’s decorrelated from the rest of the market.”
Marcus also believes that Libra can help increase interest in Bitcoin by providing more people access to BTC through its wallet Calibra.
“Of course, having more people with [digital wallets] will enable and give people more access to bitcoin and other digital currencies,”