ECB President believes that the impact of cryptocurrencies is limited to be regulated

in bitcoin •  7 years ago 

Once again, a globally influential body has talked about cryptocurrencies, and again, the power of assets sponsored by Blockchain technology has been underestimated. This time, it is the president of the European Central Bank (ECB), Mario Draghi, who has said that cryptocurrencies are very low impact to be regulated.

Speaking to the European Parliament last Monday, Draghi said that cryptocurrencies are not a threat to the ECB's control over the euro, due to the lack of adoption within the 27-member economic bloc. As a result, the impact of cryptocurrencies on the economy would be limited, according to a Reuters report. Draghi was quoted as saying to regulators:

We believe that all this is quite limited. Therefore, it is not yet something that could constitute a risk for central banks.

Draghi's comments come a few days after a member of the ECB's governing council said central banks are trying to decide whether to regulate cryptocurrencies or not. Austrian National Bank President Ewald Nowotny said lawmakers are wondering if they should be involved in regulating these assets, citing the recent closing of exchange houses in China.

In fact, this week's statements are the latest in which Draghi, who previously served as the head of the Central Bank of Italy, has opined on cryptocurrencies, while also refusing the fact that the ECB seeks some kind of regulation mechanism.

Draghi said last month that the ECB would not regulate this sector, even stating that Bitcoin was too immature to be regulated. At that time, he continued pointing out that people should value innovations in the financial sector, including cryptocurrencies, without worrying about possible risks.

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