Allianz GI CEO: Cryptoassets more suited to 'criminal underworld' than investors

Predicts greater regulatory scrutiny to come

CEO of Allianz Global Investors Andreas Utermann has claimed cryptocurrencies like Bitcoin are "entirely unsuitable for investing" and are better suited for use by the "criminal underworld".

Cryptocurrencies can neither be considered "a proper asset class, nor can they be considered as a currency", and are likely set for greater political and regulatory scrutiny to come, Utermann (pictured) wrote in a LinkedIn post on Wednesday (30 January). What impact will blockchain have on the asset and wealth management industry? He explained that cryptocurrencies lack some of the key features underpinning the sustainability of traditional fiat money such as tax raising powers, productivity in terms of trade, the ability to pay interest, backing from an army. Despite the "laudable...