RaboResearch - Economic Research

Special Dutch version

The Future of Bitcoin

This special answers some questions around the Bitcoin. Bitcoin will probably not be very successful as a means of payment. It is too unstable, too slow and too opaque. However, the Bitcoin could survive in the long run as a high risk asset class.

Special

Money printing: First, do no harm

Can we just print extra money to tackle the corona crisis? We conclude that only seven (!) countries in the world meet our proposed MMT criteria: leaving aside the US, these countries need the rare combination of a sovereign currency, simultaneous fiscal deficit and current account surplus, plus good governance.

Economic Comment Dutch version

USD LIBOR’s days are numbered

Beyond 2021 the publication of USD LIBOR fixings is not guaranteed. SOFR has been selected as the preferred successor. To avoid potential disruption in the event USD LIBOR ceases to exist, robust fall-back language should be implemented in contracts.

Economic Comment Dutch version

EONIA switches to €STR

€STR was launched in October as replacement for EONIA, which will be discontinued after 2021. The switch to €STR directly affects contracts that reference EONIA and mature after 2021. It may also impact valuations of other contracts.