Financial stability and monetary policy issues associated with digital currencies

Bill Nelson

Journal of Economics and Business, 2018, vol. 100, issue C, 76-78

Abstract: We discuss the financial and monetary policy risks of digital currencies. Leverage is low in digital investments, so the impact of bursting bubbles on the banking system is small. Digital currencies are unlikely to replace fiat paper currencies and thus present minimal risks for monetary policy.

Keywords: Digital currency; Cryptocurrency; Financial stability; Lender of last resort; Monetary policy (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (13)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0148619517302709
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:jebusi:v:100:y:2018:i:c:p:76-78

DOI: 10.1016/j.jeconbus.2018.06.002

Access Statistics for this article

Journal of Economics and Business is currently edited by Emanuele Bajo and Moritz Ritter

More articles in Journal of Economics and Business from Elsevier
Bibliographic data for series maintained by Catherine Liu ().