European Central Bank Governor Christine Lagarde argues that unlike the digital euro, cryptocurrencies have no underlying assets. The ECB’s top executives suggest that by guessing crypto assets, people should be regulated to prevent them from losing their lives.
Cryptocurrencies are “worthless,” ECB Governor argues
Christine Lagarde, head of eurozone monetary authorities, claims that cryptocurrencies are “not based on anything” and “concerns people who don’t understand the risks, lose everything and are terribly disappointed. That’s why. I believe it should be regulated. “
Talking to Dutch television, Lagarde admitted that he was skeptical of the value of crypto assets, as opposed to the central bank’s digital currencies (CBDC)Such Digital euro, The European Central Bank (ECB) will issue it within the next few years. Regarding cryptocurrencies, she also said:
My very humble assessment is that it’s not worth anything, it’s not based on anything, there’s no underlying asset to act as a safety anchor.
The ECB’s top executives are major coins like Bitcoin (BTC) And ether (ETHBloomberg reported that it was down 50% from its peak price in 2021. Cryptocurrencies are also facing increasing pressure and increasing scrutiny from regulators around the world, often citing threats to the financial system.
“I guarantee any digital euro on the day the central bank’s digital currency comes out, so I think the central bank is behind it and very different from many of them,” Christine Lagarde details. explained. The governor pointed out that she does not have crypto assets, but admits that one of her sons invested in crypto against her advice and she follows them “very carefully”.
Lagarde’s statement will be issued after other ECB officials have already expressed similar concerns. April, Board member Fabio Panetta Ramp up Banks’ anti-crypto rhetoric compares the increase in crypto assets with the 2008 subprime mortgage crisis and the Wild West gold rush, calling for global regulation.
More recently, Panetta said the digital euro could be realized by 2026 and set a time frame for its launch.The project is currently Survey phase And because the ECB is stepping up now engagement For stakeholders, the realization phase may begin at the end of 2023.
What do you think of the ECB’s stance on cryptocurrencies? Share your thoughts on this subject in the comments section below.
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