The way the BitCoins have caught the imagination, generated interest, and gained value has led to some quarters predicting end of the currency system. I suppose these predictions about of death of banks and financial institutions, and also the currency have naturally aroused the curiosity at minimum and concerns among the regulators and central bankers around the world.
There will always be periods of financial distress. No policy framework at national or international levels, will entirely eliminate these risks. And nor should we seek to do so. For we need to remind ourselves that there is always a trade-off between risk and return.