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Kenneth Saul Rogoff, professor of economics at Harvard University and former chief economist of the IMF, said that governments will not allow many cryptocurrency-based transactions to be conducted anonymously.
Rogoff stated that just because cryptocurrencies have no support, it is wrong to say that they have no value. If a cryptocurrency is proven to have unique value in certain types of transactions, if its supply is limited, it will be valuable as a medium of exchange. If it has value as a medium of exchange, it can be a store of value. But there are a few important caveats: First, if there is no intended transaction use, cryptocurrency is not a good store of value. Second, because it is always possible to create new versions of cryptocurrencies, there is no limit to the amount that can be created, so there is no scarcity and no value. But he doesn't want to exaggerate the restriction, because it may take years to fully stress test a new security protocol. Therefore, the proven long-lasting cryptocurrency of the older generation is more valuable-but only to a certain extent. Regarding whether India needs cryptocurrency, he said, “With the development of technology, all major countries are constantly rethinking their payment mechanisms. We don’t even know whether blockchain will become an important part of the payment system. But now we know. It’s too early. One reason for the slowness of regulators in this area is that they want to know whether the idea of cryptocurrency helps them understand how to better protect the existing payment structures on which the global economy depends.