Australian Reserve Bank Official Says Crypto Is No Threat To Fiat, Disses Dogecoin

Dogecoin has continued to maintain its value despite numerous dips and has often led the argument of what really constitutes a valuable asset in the crypto market. The meme coin had paved the way for others like itself to shine but that spotlight has not always been good. Nevertheless, the community support behind the pioneer meme coin has not faltered.

Tony Richards, an Australian Reserve Bank official, has dissed the meme coin recently. In what could only be described as a “stray bullet” moment, Dogecoin had caught some flack from Richards when making his case against cryptocurrencies.

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In Australia, Dogecoin is quite popular, with 4.1% of the population said to hold the meme coin. Sentiments towards cryptocurrencies, in general, are particularly positive, with surveys showing that crypto gifts are becoming more common in the country.

Crypto Is Not A Threat

Staking at an online conference on Thursday, Richards had pointed out that cryptocurrencies did not pose a threat to the Australian dollar or the monetary sovereignty and the Reserve Bank’s ability to conduct monetary policy.


Acknowledging the growing popularity of crypto in the country, the Reserve Bank official pointed to their lack of everyday use as an argument against adoption. “I can’t see shops posting their prices in cryptocurrencies or companies doing their annual reports in cryptocurrencies or lots of people wanting to get paid in cryptocurrencies,” Richards said.

Doge price still trending around $0.2 | Source: DOGEUSD on TradingView.com

However, Dr. Richards did not discount the fact that there were people who thought crypto would play a significant role in the future. But he adds that much of the market, and indeed the world, are still very skeptical of the crypto market and the technologies coming out of it.

How Does Dogecoin Fit Into The Argument?

Richards used the growth of coins like Dogecoin which seem to have no use case outside of memes gaining so much value in such little time. He explained that the growth of the meme coin market illustrates the recent boom of cryptocurrencies, pointing out that a cryptocurrency that had begun as a joke with no utility to speak of had grown to a market cap of $88 billion.

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As for the surveys that have pointed to the rapid adoption of cryptocurrencies in the country, Richards mentioned that these findings were implausible. Most of them did not include important segments of the population like older people and were conducted online, excluding those who lived in rural areas and did not access the internet regularly.

Richards pointed out that “while cryptocurrencies have clearly captured the attention of many, no doubt fueled by influencers and celebrity tweets, it is unclear how widely held they are.”

The Reserve Bank official however revealed that he held a crypto wallet that he has had since 2014, stating that “part of my job is to try to understand new payment instruments and technologies.” Adding that the Reserve Bank of Australia will work in the coming years to make sure citizens have access to safe forms of money that they can trust.

Featured image from CNBC, chart from TradingView.com