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A new report from the Bank for International Settlements (BIS) has pointed to “inherent structural flaws” in crypto as the reason why it will never become money. In sum, crypto’s inherent structural flaws make it unsuitable to play a constructive role in the monetary system (BIS (2025)). 2. The key elements of the crypto ecosystem. This section Crypto’s “inherent structural flaws” make it unsuitable as a monetary tool, the Bank for International Settlements said in a report sent to finance ministers of the world’s A new report from the Bank for International Settlements (BIS) concludes that crypto's structural flaws make it unsuitable as the basis for a monetary system. The Bank for International Settlements (BIS) has voiced its support for centralised alternatives to cryptocurrencies, calling them a flawed system. Instead, the BIS The annual economic report also underlined the Bank for International Settlements’ overall stance on digital assets calling crypto a ‘flawed system.” As per the The Bank of International Settlements (BIS) has said that crypto is structurally flawed in a new report released today. Moreover, the report titled, “The Crypto Ecosystem: The Bank for International Settlements (BIS) said Tuesday that decentralised cryptocurrencies are a flawed system and instead supported the development of a

Bank for International Settlements Calls Crypto Structurally Flawed: Will Crypto Ever Be Money?

A new report from the Bank for International Settlements (BIS) has ignited debate within the cryptocurrency community, declaring crypto "structurally flawed" and questioning its potential to ever function as viable money. The BIS (2025) states that crypto’s "inherent structural flaws make it unsuitable to play a constructive role in the monetary system." This is not the first time the Bank of International Settlements (BIS) has voiced concerns. The annual economic report also underlined the Bank for International Settlements’ overall stance on digital assets calling crypto a ‘flawed system.”

Crypto\'s Inherent Structural Flaws: The BIS Report

So, what are these "inherent structural flaws" the Bank for International Settlements (BIS) is referring to? The report, titled “The Crypto Ecosystem: The Bank for International Settlements (BIS) said Tuesday that decentralised cryptocurrencies are a flawed system. As per the report, these flaws make it unsuitable as a monetary tool. The BIS report was sent to finance ministers of the world, further highlighting the institution’s serious reservations.

A new report from the Bank for International Settlements (BIS) concludes that crypto\'s structural flaws make it unsuitable as the basis for a monetary system. The report points to fundamental issues within the key elements of the crypto ecosystem. This section elaborates on those elements, including issues related to scalability, security, and governance. The BIS argues that these challenges are not merely technical hurdles but rather deep-seated problems that undermine crypto’s viability.

Centralized Alternatives Favored by the BIS

Instead of decentralised cryptocurrencies, the Bank of International Settlements (BIS) has voiced its support for centralised alternatives, calling them a flawed system when decentralized. The BIS believes that a more controlled and regulated approach is necessary for digital currencies to effectively contribute to the global financial landscape.

In sum, the Bank of International Settlements (BIS) has said that crypto is structurally flawed in a new report released today. The question remains: will the cryptocurrency community be able to address these concerns and overcome the challenges highlighted by the BIS, or will crypto remain a flawed system?

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