A recent comment by Ex-Credit Suisse chief Oswald Gruebel reminds everyone that bitcoin’s reign as an alternative to fiat draws near. In a recent interview with NZZ, a Swiss national newspaper, Mr. Gruebel explained how crazy negative interest rates by the Central Bank is making the fiat worthless.
As Fiat Becomes More Worthless; Bitcoin Could Take Over
Oswald Gruebel, a former Credit Suisse chief executive, who served between 2004 to 2007, and also UBS Group’s top executive from 2009 to 2011, made an interesting comment of recent. In his remarks, Mr. Gruebel attributed the shrinking of the country’s financial sector to negative interest rates.
“Negative interest rates are crazy. That means money is not worth anything anymore.” He also added that “As long as we have negative interest rates, the financial industry will continue to shrink,” Mr. Gruebel informed the press.
The Swiss bank had introduced a negative interest rate in 2015. The bank took this move in an appreciation of the franc. Since then, the move has proven to be a curse rather than a blessing. Despite the harmful effects the situation is having on the nation’s economy, Credit Suisse still plans to charge more wealthy clients, as hinted by Bloomberg.
It’s also interesting to note that the situation does not only apply to the European nation alone; it’s a global thing. The US, China, and many African countries all fight to do all they can to keep their head above water in order not to enter a recession.
Therefore, cryptocurrency analysts, most especially, are thinking that the situation on the ground may lead to the global adoption of cryptocurrencies. This is because a lot of people will seek a better alternative to preserving their wealth, rather than having their wealth stored using a means which daily depreciates. If this happens, it will further push the adoption of cryptocurrencies, most especially bitcoin.