An educational video from the International Monetary Fund (IMF) has explained the benefits and disadvantages of cryptocurrency that has resurfaced on social media, and many viewers are largely unimpressed.
It has been reported that the two-minute video originally published in June 2018, which the IMF posted to its Twitter account on August 23, refers to cryptocurrency as the “next step in the evolution of money” without specifically mentioning terms like a decentralized ledger, blockchain, or even token names. Bitcoin (BTC), XRP, and Ethereum (ETH) make an appearance only in graphic illustrating crypto transactions.
What are cryptocurrencies? https://t.co/ggONlLkA2r pic.twitter.com/yYpj3Jf37E — IMF (@IMFNews) August 23, 2020
Although the video has so far racked up more than 137,000 views and 2,900 likes, many reactions from the crypto community were critical, pointing out gaps in information and seemingly misleading terms.
Reddit user nanooverbtc said:
“They get so many things wrong, like calling private keys passwords.”
Also, the video did not discuss mining or coin supply.
Pierre Rochard, the strategist of Kraken, said:
“Provable scarcity is what makes Bitcoin interesting, you forgot to mention that.”
Likewise, an IMF spokesperson said that the advantages of using crypto over fiat include faster processing times for fewer fees and better security for sensitive data. Though the video says it’s “almost impossible to fool the system,” risks include some untraceable transactions, as well as many being anonymous.
However, other Reddit users like teddy_swits were quick to point out that the video seemed to focus more on the disadvantages of cryptocurrency.
The IMF’s educational video on digital currency doesn’t mention mining, scarcity, or mooning https://t.co/yP57Y4qzsS — Cointelegraph (@Cointelegraph) August 24, 2020
He said by referring to the animation depicting volatility as the floor crumbling beneath the speaker’s feet:
“They present volatility as entirely negative. What about moon shots?”
The response to the IMF video echoes that of users to Grayscale Investment’s 30-second TV spot released earlier this month.
Thus, many criticized the investment firm for simply taking viewers through the history of currency rather than mentioning Bitcoin by name or explaining how crypto could be a useful hedge against inflation.