International Monetary Fund (IMF) Director Kristalina Georgieva said that cryptocurrencies are an asset class, not money, so Bitcoin is unlikely to displace the US dollar.

In an interview with Yahoo Finance Live, Kristalina Georgieva dismissed concerns that Bitcoin could potentially dethrone the US dollar as the world's dominant currency, noting the size of the US economy as well as the depth of capital markets. The head of the IMF believes that a distinction must be made between money and assets.

“Cryptocurrencies can be secured, then investing in them is safer. If cryptocurrencies do not have collateral, then investing in them is riskier. But it's not really money. It’s more like a wealth management fund,” Georgieva explained.

The IMF director also disagrees with industry participants who believe that the recent approval of spot Bitcoin ETFs in the US will encourage mass adoption of the first cryptocurrency. Georgieva is sure that this day is still very far away, so such conversations do not make much sense.

“I am in no hurry to convert my dollars into other currencies. This doesn't mean you shouldn't diversify your investments. But I wouldn’t worry about Bitcoin competing with the dollar,” the IMF director added.

In December, Georgieva called on international regulators to create clear rules to reduce the risks associated with digital assets. The IMF chief said widespread adoption of crypto assets could undermine macro-financial stability, contradicting her recent statements.