Can bitcoin be an alternative to the US dollar?
It certainly can according to Canada's former PM Stephen Harper. He said that bitcoin or gold could act as 'the world’s major reserve currency'.
In an interview with Cambridge House’s Jay Martin at the Vancouver Resource Investment Conference Harper said the US dollar can only be replaced with a large currency such as the Euro or Chinese yuan. However the long-term perspective of the euro is really uncertain and the Yuan can come under pressure from the "arbitrary measures" of the Chinese government.
His idea is that the US dollar can be replaced with a basket of reserve currencies and bitcoin can be its part. Digital currency might serve as a evolution of the marketplace if the purpose of the central bank is:
- Inflation control
- Creation of a stable currency
- Having a computable value
That might be an interesting statement, because recently President of the European Central Bank Christine Lagarde said that bitcoin is a ‘funny business’ and now we see an equal but opposite opinion coming through.
No guarantees and no predictions but oh Lord… imagine how much bitcoin would cost if it were a part of reserve currency!