European Central Bank (ECB) President Christine Lagarde is known to believe that crypto assets are worth zero.
According to the Politico report, Lagarde say Cryptocurrencies have “nothing worth” and are just speculative assets.
“I said that all crypto assets are very speculative and very risky. My very humble assessment is that it is of no value. It is based on nothing, and has no underlying assets to act as anchors of safety.”
However, the ECB governor said he would welcome a central bank digital currency designed for the European Union.
“The day there is a central bank digital currency, I will guarantee any digital euro. So the central bank will be behind it. I think it’s very different from those things.”
Lagarde’s views on crypto assets are not surprising given her previous views.
In September 2021, the ECB governor said that crypto assets do not fit the definition of a currency.
“Cryptocurrency is not a currency. Crypto is a highly speculative asset that claims to have a reputation as a currency, but it is not.
I think we should distinguish between highly speculative and sometimes questionable cryptocurrencies in terms of energy use and high-strength cryptocurrencies. It is an asset, but not a currency.”
Lagarde’s stance on cryptocurrency is in stark contrast to that of Salvador’s President Nayb Bukele, who has emerged as an advocate for Bitcoin (BTC).
Last week, Bukele announced that it was holding a meeting with representatives of central banks from 32 countries to discuss “financial consolidation, digital economy, bankless banking, Bitcoin launch and benefits for our country”.
El Salvador has designated Bitcoin as a legal tender for 2021. Last month, the Central African Republic followed suit.
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