The ACB executive has called for an end to the ‘illegal frustration’ over crypto trading

A senior European Central Bank official has linked cryptocurrencies to the Ponzi scheme and called for a crackdown on “illegal risk aversion”.

Fabio Paneta, a member of the Executive Board of the ACB, which oversees the operation of the ECB, called for “integrated international efforts to bring crypto assets to the supervisor’s view” by increasing taxes, enforcing anti-money laundering laws and improving publicity. Fast market.

The central bank has little power to dominate the market other than to control major euro zone banks and control financial stability.

Officials have previously criticized crypto currencies, but Paneta’s comments represent an increase in ECB’s campaign against crypto assets such as Bitcoin and Ethereum, which have expanded in recent years and have a combined market value of more than $ 1.8tn, CoinMarketCap reports.

“Crypto assets are speculative assets that could cause significant harm to society,” Paneta said. “They now benefit from greed, they rely on the greed of others, and this method will continue unabated. . . Until this card house was demolished, people were buried at their own expense.

Crypto assets account for only 1 percent of the world’s financial assets, and Panetta said the stock market was growing faster than in the 2008 U.S. subconditions market.

“We must not repeat the same mistakes by waiting for the bubble to burst, and only then, realizing the extent of the crypto threat in the financial system,” Paneta warned high-risk investors, financial advisers and family offices. They are now leading the charge to invest in crypto assets.

“Such volatility in the Ponzi scheme will only continue as long as a growing number of investors believe that inflation will continue and that there will be untapped value for any currency.”

“There are also cases where some crypto assets are subject to higher tax rates,” he said. . . Taxes above and above other financial instruments.

Bitcoin prices dropped to $ 40,000 in November to $ 40,000 on Monday. According to Paneta, this high volatility has made crypto assets unsuitable for payment or family storage.

Citing a study of more than $ 72 billion a year in criminal activity, Panetta said Russia has increased its use of the ruble since the sanctions were imposed on Russia this year.

The EU is finalizing the so-called “crypto assets market” law that will take effect in the next two years. But Paneta said “European regulatory measures should go further” including resolving “unsupported crypto asset activities outside of service providers”.

“In addition, we cannot afford to waive peer payments, as they can be used to terminate any regulation,” he said.

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