In an interview with CNBC, Jim Yong Kim said that this technology “makes everyone excited”-he discussed cryptocurrencies carefully in a statement.
“B-chain technology is something everyone is excited about, but we must remember that Bitcoin is one of the few instances. In addition, when blockchains are used, they are basically Ponzi schemes. Therefore, if we continue to move forward, we are certain that it will not be used for development,” he said.
The World Bank-a financial institution that provides funds to governments-is no stranger to blockchain. Last summer, the company launched a blockchain development laboratory and supported research projects that apply the technology to areas such as capital formation.
Kim continues to compare cryptocurrencies with payment systems owned by Chinese e-commerce giant Alibaba.
He said: “As long as three seconds, it takes three seconds to transfer $160,000 to everyone on the Alibaba network because they can evaluate their reputation within three seconds.”