Bitcoin may not have intrinsic value, says Bank of England governor Bailey

Andrew Bailey, the governor of the Bank of England, has said that bitcoin may not have intrinsic value or the perceived worth determined through fundamental analysis.

"I have to be honest, it is hard to see that bitcoin has what we tend to call intrinsic value," said Bailey during a session, as reported by Reuters on Monday. "It may have extrinsic value in the sense that people want it."

There appears to be a bit of a shift in Bailey's sentiment. Previously, he has clearly said that bitcoin has "no intrinsic value."

On Monday, Bailey also said that he is "very nervous" about people using bitcoin for payments because its value is uncertain and price extremely volatile.

Bailey has previously warned would-be bitcoin investors, saying that "be prepared to lose all your money," as buying bitcoin is similar to gambling.