LONDON, August 24 (RIA Novosti) - Mark Hirst – The heated debate between pro and anti-Scottish independence campaigns over what currency an independent Scotland would use is a “massive red herring,” a financial expert in the City of London told RIA Novosti.
“I think this whole debate over what Scotland’s currency would be is a massive red herring. I don’t think it is remotely important,” Dominic Frisby, a financial expert, commentator and author of “Life after the state” told RIA Novosti.
The Scottish independence campaign has been dominated by arguments over what currency an independent Scotland would use following a Yes vote with the three main pro-United Kingdom parties insisting a formal currency union between Scotland and England would be blocked. The pro-independence Yes Campaign has said a formal currency union would be in the interests of both countries.
But Frisby believes that fears over the currency will lead to a No vote despite the “huge opportunity” Scotland has to become the wealthiest country in the world.
“An independent Scotland could become the richest country on earth,” Frisby told RIA Novosti.
“If you look at the most successful countries on a GDP per capita basis, in other words wealth per person, the richest countries are all small and they are either financial centers or oil rich,” Frisby added.
“Scotland may not be ‘oil rich’ but it has more oil than most countries. It is small with a population of just over 5 million and Scotland has a rich tradition in finance,” he said.
“It has the potential to turn itself into a major financial center. I don’t see why Edinburgh can’t compete with London, or indeed why Glasgow couldn’t compete with London as a financial center. I know plenty of people in London who would move to Edinburgh or Glasgow in a jot,” Frisby told RIA Novosti.
“This is a huge opportunity for the Scots but for me sitting in South London with my fingers on the pulse I think it will prove too much for them and people will be scared,” Frisby said.
Frisby, a columnist with investment magazine, Moneyweek, added that there are other currency options an independent Scotland could consider that would quickly transform its economy into an economic powerhouse.
“I’ve just finished writing a book about Bitcoin, called ‘Bitcoin the Future of Money?’ It’s pretty obvious that block chained base money is the future. So why doesn’t Scotland become the first country to put its currency on a block chain? It’s so much cheaper and efficient than current monetary systems,” Frisby told RIA Novosti.
“In doing so not only would Scotland be a trendsetter and trailblazer but it really will transform itself into a global financial center,” Frisby added.
The financial expert said the Scottish independence referendum was the first time in his lifetime where the vote had the potential to lead to real and positive change, but believes Scots voters will be overwhelmed by fear.
“I am 44 years old and this is the first election I’ve ever witnessed in my whole life where something actually has the potential to change. Most UK elections you choose Labour or Conservative, aside from small things, nothing really changes. The civil service doesn’t change, systems don’t change, it is just the faces that change,” Frisby said.
“I don’t think independence will happen because it will be such a big change that people will just get scared and will choke,” Frisby told RIA Novosti.
“The big irony of course is that if Salmond [Scotland’s First Minister and leader of the pro-independence Scottish National Party] had opened up the vote to everyone whom he wants independence from [the rest of the United Kingdom] he would have won,” Frisby added.
Scots go to the polls on 18th September and will be asked one question - “Should Scotland become an independent country?”
