The Governor of the Bank of England has issued a warning that cryptocurrency is providing a means of payment for criminals.

Andrew Bailey, Governor of the Bank of England, has warned that crypto assets are providing another form of payment for people who want to commit criminal acts.

Andrew Bailey, the governor of the Bank of England, stated during an online question-and-answer session hosted by the British central bank that the rise of cryptocurrency is aiding illegal activities. He was reported to have said:

The advent of digital means of payment, and in particular crypto assets, I’m afraid that the evidence suggests … that it is providing another means of payment for people who want to conduct criminal activity.

Governor Bailey has issued several warnings about various aspects of cryptocurrency. “I’m skeptical about crypto-assets, frankly, because they’re dangerous, and there’s a lot of enthusiasm out there,” he said in May.

He also claimed that cryptocurrencies “have no intrinsic value.” However, the governor of the Bank of England added that this does not imply that people do not place value on them, noting that “they can have extrinsic value.” Nonetheless, Bailey stated emphatically, “I’m going to say this very bluntly again.” Buy them only if you’re willing to lose your entire investment.”

The governor of the Bank of England is not the only one concerned about the use of cryptocurrency in illegal operations. Christine Lagarde, president of the European Central Bank (ECB), stated in May that cryptocurrencies are vulnerable to money laundering.

Several times this year, U.S. Treasury Secretary Janet Yellen has mentioned the use of cryptocurrency in criminal funding. She emphasized the significance of crypto regulation in February to guarantee that bitcoin and cryptocurrencies are not utilized in illegal transactions.

Furthermore, in October, US President Joe Biden said that the United States will bring together 30 nations to speed our cooperation in combatting cybercrime, increasing law enforcement work, halting the unlawful use of cryptocurrencies, and engaging on these problems diplomatically.

Patrick

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