Bill Gates, founder of Microsoft, shared conflicting views on digital currencies and bitcoin in his latest Reddit AMA.

The billionaire philanthropist highlighted the potential of mobile technology in countries with weak infrastructure. In particular, individuals without access to traditional banking services can benefit from low transaction fees and instant fulfillment using virtual money.

From a business perspective, he also clarified that establishing bank branches in rural areas is not an effective solution due to small monetary transfers and below average storage amounts.

The tech pioneer expressed his involvement with digital currencies through the Bill and Melinda Gates Foundation during last year’s AMA, stating:

“In Kenya M-pesa is being used for almost half of all transactions. Digital money has low transaction costs which is great for the poor because they need to do financial transactions with small amounts of money. Over the next 5 years I think digital money will catch on in India and parts of Africa and help the poorest a lot.”

When asked if bitcoin should be used to supplement transactions in developing countries, Gates said the following:

“We don’t use bitcoin specifically for two reasons. One is that the poor shouldn’t have a currency whose value goes up and down a lot compared to their local currency. Second is that if a mistake is made in who you pay then you need to be able to reverse it so anonymity wouldn’t work.”

Gate’s approach and views on cryptocurrency are practical. Without stability, bitcoin may have a difficult time entering the general market, simply because most individuals find fluctuations too risky for essential transactions such as monthly bills and salaries.

For now, the implementation of new regulations and the rise of investment-backed exchanges may help solidify bitcoin’s controversial reputation.