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ECB’s Policy Maker Believes Crypto Is Kind of a Fairytale Story

About a year ago, Bitcoin (BTC) was basking in its glory, as it enjoyed hitting its record high, which was a jaw dropping amount of $19,511. And crypto enthusiasts that had taken a leap of faith with the infant currency by investing in it earlier on, were rejoicing. Some might’ve even thought it to be a fairytale, if fairytales were more about taking your chances with an anonymous man’s idea of decentralized currency instead of a frog turning into a prince.

Unfortunately however, that high was short-lived and apparently just too good to be true as Bitcoin (BTC) started taking to plummet for most part in the last year, which many say was a bloodbath for the cryptos. Following the unfortunate events, people, including high profile professionals, are calling out the Bitcoin (BTC) fairytale for its inevitable collapse.

A member belonging to the Governing Council of the European Central Bank (ECB) has straight out warned people about the probable death of the cryptocurrencies. The policy maker of the European Central Bank, Ardo Hansson, quite bluntly addressed the cryptocurrencies as a “complete load of nonsense”, which will of course eventually die down.

While attending the a conference in Riga, Latvia, Hansson, who also happens to be the governor of Estonia’s Central Bank, shared his candid views on the cryptocurrencies that have taken the world by storm. According to him the crypto bubble has already started collapsing and he’s all for observing just how far the crypto’s can collapse, just so when we reach a new kind of equilibrium, we can see what is left of it.

I think we will come back a few years from now and say how could we ever have gotten into this situation where we believed this kind of a fairy-tale story

Of course the tragic fairytale of cryptos is not all that was on Hansson’s agenda, in the light of all the illegal activities that come as a downside of digital currency, he further emphasized on the dire need to focus on the issue of protecting investors in crypto. He also shared concerns regarding financial stability, given the increase in links between digital assets and the traditional regulated financial sector.

ECB’s rather harsh views on cryptos don’t really come as much of a surprise. As per previous reports, the ECB policy maker actually supported criticism regarding cryptocurrencies from the President of the European Central Bank, Mario Draghi. Who was apparently not very welcoming to the idea of establishing an Estonian national cryptocurrency, Estcoin.

No member state can introduce its own currency; the currency of the eurozone is the euro

 Said Draghi at the time.

Despite all the bad press the cryptos are getting, The nation’s police, reportedly, issued almost 500 licenses to crypto-currency exchange providers in a year, and more than 440 licenses to companies offering a wallet service.

For further updates, stay tuned to BlockPublisher.

Abeer Anwaar

Abeer holds a Bachelors degree in Media studies and covers blockchain startups for BlockPublisher. An optimist, excels in the art of the written word and swears by the joy of all things sweet. Contact the editor at editor.startups@blockpublisher.com

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