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News

The governor of the Hungarian central bank, like China, is calling for an EU-wide ban on cryptocurrencies

February 13, 2022 - Around 2 mins mins to read

Governor György Matolcsy of the Central Bank of Hungary expressed Support for the idea of ​​a cryptocurrency ban in the European Union (EU).

“China declared all crypto activities illegal last September (…) I fully agree with the proposal and also support the position of the EU’s top financial regulator that the EU should ban the mining method used to generate Bitcoin. “

ban on cryptocurrencies

György Matolcsy – Governor of the Central Bank of Hungary

Matolcsy also explained his position using the example of China and Russia. The People’s Bank of China (PBoC) last year banned all crypto-related activities, from mining to trading. A while ago, the Central Bank of Russia also announced that it is considering a ban on crypto-related activities. However, the Russian authorities and other authorities do not seem to agree with the central bank’s announcement.

“It is clear that cryptocurrencies can serve illegal activities and tend to build financial pyramids. The Central Bank of Russia is right when it says that “the dizzying growth and market value of cryptocurrencies is primarily driven by speculative demand for future growth, creating a bubble.” .

Therefore, he stressed that the EU “is working together to prevent the formation of new financial pyramids and bubbles”.

Additionally, EU citizens and businesses can own cryptocurrencies abroad, but there will be disclosure guidelines for regulators to track holdings.

Just early last month, Erik Thedéen, vice president of the European Securities and Markets Authority, pushed for the phasing out of the energy-intensive proof-of-work (POW) mining model. He warned against the increased use of renewable energies in mining. In addition, it called a “national problem” for Sweden.

Since last year, several other countries have also reported energy shortages due to increased mining activity. As more and more miners turn to renewable energy sources, it is clear that they still have energy issues to deal with in many parts of the world. Countries like Russia, Kazakhstan and Kosovo are also reporting turbulent energy situations.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

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# Cryptocurrencies

ban

bank

calling

Central

China

EUwide

Governor

Hungarian

Author

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.
News

The governor of the Hungarian central bank, like China, is calling for an EU-wide ban on cryptocurrencies

Governor György Matolcsy of the Central Bank of Hungary expressed Support for the idea of ​​a cryptocurrency ban in the European Union (EU).

“China declared all crypto activities illegal last September (…) I fully agree with the proposal and also support the position of the EU’s top financial regulator that the EU should ban the mining method used to generate Bitcoin. “

ban on cryptocurrencies

György Matolcsy – Governor of the Central Bank of Hungary

Matolcsy also explained his position using the example of China and Russia. The People’s Bank of China (PBoC) last year banned all crypto-related activities, from mining to trading. A while ago, the Central Bank of Russia also announced that it is considering a ban on crypto-related activities. However, the Russian authorities and other authorities do not seem to agree with the central bank’s announcement.

“It is clear that cryptocurrencies can serve illegal activities and tend to build financial pyramids. The Central Bank of Russia is right when it says that “the dizzying growth and market value of cryptocurrencies is primarily driven by speculative demand for future growth, creating a bubble.” .

Therefore, he stressed that the EU “is working together to prevent the formation of new financial pyramids and bubbles”.

Additionally, EU citizens and businesses can own cryptocurrencies abroad, but there will be disclosure guidelines for regulators to track holdings.

Just early last month, Erik Thedéen, vice president of the European Securities and Markets Authority, pushed for the phasing out of the energy-intensive proof-of-work (POW) mining model. He warned against the increased use of renewable energies in mining. In addition, it called a “national problem” for Sweden.

Since last year, several other countries have also reported energy shortages due to increased mining activity. As more and more miners turn to renewable energy sources, it is clear that they still have energy issues to deal with in many parts of the world. Countries like Russia, Kazakhstan and Kosovo are also reporting turbulent energy situations.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page