Ewald Nowotny, the current governor of the austrian central bank and member of the board of directors of the european central bank, said recently that the central banks and legislators intend to regulate crypto-currencies. He said that they wonder if the legislators or the institutions must intervene, as has happened in China which have banned it because they consider it as a fraud.
The comments of the member of the council of the ECB made reference to the ban by China of the ICO and the exchange of digital currencies in the country. A situation that has forced many companies to turn to other countries.
The position of the ECB is different
The decision of China aimed to limit the financial risks associated with the market of crypto-currencies and was driven in part by their incredible growth this year. In addition, the development of this sector is not a problem for Nowotny, who downplayed the potential risk of Bitcoin and other virtual currency.
Here are the declarations of the president of the ECB concerning the Bitcoin :
He explained that the market was not so big and that he could not create an instability in the universe of finance. In the european Union, some countries have already adopted the crypto-currencies. Moreover, Russia would already be in phase to put in place regulations to control this sector.
The price of Bitcoin is skyrocketing
In recent months, the value of the Bitcoin is soaring, so much so that it has recently reached a new record of more than 8 100 bucks. The market capitalization of this crypto-currency is now $ 134 million.
Nowotny said that the investors need to understand the functioning of this technology. Users can suffer losses and if this happens, they should just accept it. It is the same for all other investment products, he explained.
Source : CryptoCoinsNews