Virtual Currencies Appear on Central Bank Radar

Radar2The European Central Bank has issued a report on virtual currencies. There's nothing to worry about, they say. Virtual currencies are no threat to the real world, since they are small and not enmeshed with the real economy in a significant way. This reminds me of a story. An optimist falls off a 30-story building. Passing the 15th floor, he says "So far, so good." When he hits the ground he says "Wow, I didn't see THAT coming."

Comments on Virtual Currencies Appear on Central Bank Radar:

Rits says:

I'm not familiar with ECB. Whom they mean has nothing to worry about? Who are the main audience that this report is made for?

Posted Nov 7, 2012 2:16:58 PM | link

Edward Castronova says:

ECB runs the Euro. I imagine that the reports goes out to financial leaders of all kinds.

Posted Nov 7, 2012 3:02:21 PM | link

Richard Bartle says:

I'd rather the ECB underestimated the dangers to come than overestimated them. If they saw virtual currencies as an imminent threat to real currencies, they coud impose all manner of restraints and restrictions on their use, even to the extent of closing down virtual worlds as a precaution. The dangers are probably worse than they think they are, but not as bad as they could think they are.

Posted Nov 14, 2012 2:53:09 AM | link