Swiss National Bank warns about the impact foreign digital coins could have on monetary policy

English Sep 10, 2019

According to the chairman of the Swiss National Bank its important for Switzerland to maintain its own currency, even if it becomes a stablecoin in the future:

“As long as prices, wages and loans are set in Swiss francs, the SNB can influence incentives for savers and borrowers via its monetary policy and thus ensure price stability over the medium term.”

He also expressed worry about how a massive adoption of other coins could impact mine the government control on economic affairs:

“Depending on Libra’s level of acceptance and on the referencing of the euro in its reserve basket, it could reduce the ECB’s control over the euro, impair the monetary policy transmission mechanism by affecting the liquidity position of euro area banks, and undermine the single currency’s international role, for instance by reducing demand for it”, the executive noted.


Morel Hernandes

Writer passionate about politics, economics, blockchain and crypto-currencies.