Bank of England governor Andrew Bailey voiced his concerns over El Salvador’s adoption of Bitcoin (BTC) as a legal tender, according to a report by CoinTelegraph on Friday.

  • Bailey stated that El Salvador’s decision to legally adopt Bitcoin as a currency was worrying because consumers are likely to suffer from the huge volatility of the biggest cryptocurrency.
  • Trading nearly $43,000 on the first day of El Salvador’s Bitcoin adoption as legal tender, Bitcoin rose significantly to a new all-time high of more than $68,000 on November 9.
  • BTC’s price has sharply plunged 7% since then, with Bitcoin now trading at around 54,469.60.
  • BoE governor also raised questions on whether Salvadorans understood the nature and extreme volatility of Bitcoin, which caused its biggest issue.

Bailey further revealed that the BoE was exploring whether to launch a central bank digital currency (CBDC). BTC USD down 7.56%.