The rise of “sensible crypto” – the idea that certain cryptocurrencies will revolutionize the financial system and make it more inclusive – is being championed by political leaders, Wall Street types, and crypto exchange bosses. These individuals give credibility to an industry that is opaque and high-risk, and preys on those who cannot afford to gamble their money away.
One way that “sensible crypto” exerts its influence is through central bank digital currencies (CBDCs), which are being promoted as a way to make the financial system more inclusive. Central bank digital currencies are a type of cryptocurrency that is issued by a central bank, and they have the potential to revolutionize the financial system.
The Digital Pound Foundation is a group of individuals who support the implementation of a digital pound. They see crypto as a direct threat to CBDCs and are working hard to make crypto more sensible.
The board of directors for a new UK-based digital economy initiative consists of two founder-CEOs of relatively obscure crypto projects, and the “head of policy” at Ripple, a company behind the XRP token, who is based in Washington DC, the global hub of crypto lobbying. This gives the initiative a strong connection to both the UK and US crypto communities, and positions it well to help shape the future of digital currencies and economies.
The legitimization of crypto is also happening in UK politics, with former chancellor Rishi Sunak suggesting that Britain should become a “global cryptoassets hub”, and the establishment of a “central bank and digital currency” all-party parliamentary group whose secretariat is a crypto company. The author argues that we must see this “sensible crypto” crowd for what they really are – snake-oil salesmen in sensible clothing, trying to legitimize their industry by attaching themselves to the establishment.