The Vice President of the European Central Bank (ECB), Luis De Guindos, has stated that he wants cryptocurrencies to be subject to the same rules as other assets. The statements were made in a presentation as part of the summer courses offered by the European Parliament, in which De Guindos gave his opinion on cryptocurrency regulation.
ECB Vice President: Crypto should follow the same laws as other assets
Luis De Guindos, the current Vice President of the ECB, said he believed that crypto assets should be regulated like any other asset in the market. De Guindos gave his opinion during a series of summer courses sponsored by the European Parliament and the European Union. Regarding cryptocurrencies in particular, he said:
I wouldn’t ban them, but issuers must be obliged to respect the same terms and conditions as any other financial asset and avoid anything to do with money laundering or terrorist financing.
For De Guindos, cryptocurrencies can easily be used for illegal purposes due to their pseudonymous properties. De Guindos has always taken a skeptical stance towards cryptocurrencies, which he calls “crypto assets”, because in his opinion they do not work as a valid payment method. At the same time, he stated that these crypto assets have no impact on the region’s financial stability.
De Guindos also noted that these new tools have no economic basis compared to other more traditional assets. For him, the value of cryptocurrencies comes only from their scarcity and not from their relationship with other assets.
This is not the first time De Guindos has published such an opinion on crypto. On May 19, he stated that due to the fragility of their value proposition, cryptocurrencies are not real investments. However, the ECB is examining the feasibility of creating a digital euro. This would give the ECB an instrument to combat the emergence of private alternative payment methods such as cryptocurrencies and those offered by fintech companies.
The public continues to expect an early decision by the ECB on the issue of a digital euro. De Guindos believes that such a currency is really needed. He stated that the digital euro:
Something we just have to do. It is not trivial in terms of the possible impact on financial stability and monetary policy, so we need to calibrate this project to minimize possible negative consequences.
What do you think of De Guindos’ stance on cryptocurrency? Let us know in the comments section below.
Photo credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer of liability: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement for any product, service, or company. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author are directly or indirectly responsible for any damage or loss caused or allegedly caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.