The president of the European Central Bank (ECB), Christine Lagarde, has called for global regulation of bitcoin. She said bitcoin is a highly speculative asset and has “been doing funny business.” She stressed the need for countries to work together to regulate bitcoin, and suggested that crypto regulation could be “initiated by the G7, moved to the G20, and then expanded.”
ECB chief calls for Bitcoin regulation worldwide
ECB President Christine Lagarde said in an interview at the Reuters Next conference on Wednesday that bitcoin is “a speculative asset for any account.” She added, “I mean if you look at the most recent upward trend and now the most recent downward trend, it is for those who would have assumed it could turn into a currency. I’m terribly sorry, but this is a plus. The head of the ECB explained:
It is a highly speculative asset, which has led to some funny cases and some interesting and totally reprehensible money laundering activities.
“I think there have been criminal investigations that I am sure will continue and which shows very clearly. And there must be rules. And this has to be applied and agreed, ”she continued. However, she did not clarify which studies she was referring to.
Lagarde called for specific regulations for bitcoin:
It is an issue that must be agreed on a global level because if there is an escape, that escape will be used. So, I think … global cooperation, multilateral action is absolutely necessary, whether initiated by the G7, moved to the G20 and then expanded.
“But it’s something that needs to be addressed,” she stressed, adding that the Financial Action Task Force (FATF) “is clearly an organization that has expanded in that regard.”
Lagarde’s comments about bitcoin drew a lot of response. Financial analyst Dan Tapeiro wrote, “Shameful for Lagarde. Please read some. Morgan Creek Digital partner Anthony Pompliano made a video explaining why “Bitcoin is the most regulated currency in the world” and why it “is already more regulated and used for illegal purposes less often than any other currency.”
Several commentators pointed out that it is the ECB and other central banks that are doing “funny business” with all their money printing activities.
Many people commented that Lagarde is himself a convicted criminal. One Twitter user opined, “Why are all the people trying to regulate bitcoin themselves trying to be incredibly vague? Lagarde was “found guilty of criminal charges for massive (400 million euros) government disbursements.” While serving as director of the International Monetary Fund (IMF), Lagarde was convicted in 2016 of negligence for a state payment while serving as Finance Minister of France in 2008. Nevertheless, she escaped punishment and kept her job at the IMF.
Meanwhile, Lagarde also said on Wednesday that she hopes it will not take more than five years to launch a digital euro.
What do you think of Lagarde advocating for global bitcoin regulation? Let us know in the comments below.
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