The Bank of International Settlements (BIS) is slowly, very slowly, coming around to see the potential in digital currencies. In a recent interview with the Financial Times, Augustin Carstens, head of the BIS, said some of the first positive statements on the topic ever from the institution. Don\u2019t get too excited though, he\u2019s not yet a fan of cryptocurrencies. Instead, he\u2019s specifically sees a future for digital versions of existing fiat currencies. \u201cMany central banks are working on it; we are working on it, supporting them,\u201d he told the outlet. \u201cAnd it might be that it is sooner than we think that there is a market and we need to be able to provide central bank digital currencies.\u201d This got a few in the industry to sit up and take notice, specifically because this is a 180-degree turnaround from comments Carstens made in March. At that time, he advised that banks shouldn\u2019t yet jump into digital currencies for fear that they might destabilize the system. \u201cCentral banks do not put a brake on innovations just for the sake of it,\u201d he noted. \u201cBut neither should they speed ahead disregarding all traffic conditions.\u201d Some have taken this to be a reversal\u00a0as well on his comments that cryptocurrencies are Ponzi schemes, but that reads like a conclusion that\u2019s a bit too hasty to make. Carstens' qualification that digital fiat currencies have a future is a very different statement to make than saying Dogecoin is going to the moon next month. That\u2019s proven by the BIS\u2019 recent cautious stance on Facebook\u2019s Libra, calling it a \u201cpotential to generate new risks and costs associated with market power.\u201d Libra, one of the most promoted corporate-friendly attempts to digitize money, is still a threat to the current financial system that the BIS protects because it specifically promotes an alternative to the current banking system, much like cryptocurrencies. The BIS, which is owned by 60 of the world\u2019s central banks, is charged to protect the interests of banks specifically. Those bodies have not yet gotten on board with crypto. Digital currency, and specifically the type that emulates fiat as closely as possible, is just about the only thing they look ready to accept in a major way, so Carstens sees a future in it. Cryptocurrency, with many of its projects defiantly promoting a vision where the world will no longer need the banks that Carestens protects, is not something he will get on board with. At least, not until those major institutions find a cryptocurrency that specifically wants to work with them, in a mature and responsible fashion that works in their interests.