A warning statement from the International Monetary Fund (IMF) ascertains the “rapid growth” of Bitcoin and other cryptocurrencies could create “new vulnerabilities” in the globe’s financial markets, as published in the IMF’s World Economic Outlook report on October 9, 2018.
IMF Warns Investors
The paper pointed out cryptocurrencies, such as bitcoin, XRP, ether, litecoin, and EOS, are being “examined” by purveyors of traditional finance as noteworthy investments to their diverse portfolios. In addition, banks and financial services companies are exploring ways to use cryptocurrencies for streamlining the cross-border remittance process, which costs millions of dollars today.
In 2017, widespread excitement about Bitcoin and a myriad number of tokens led the cryptocurrency market to an $800 billion valuation in December 2017, with the market cap remaining above figure for a month.