The adoption and prevalence of cryptocurrencies is increasing day by day, and following the increase in this adoption, the calls for regulations in the industry are also increasing. While calls and demands for the ban of cryptocurrencies are increasing, especially in Europe, there is a news. Hungarian Central Bank (MNB) It came from the front.
MNB Chairman György Matolcsy has urged his country and the EU to ban Bitcoin mining and trading. Its president claimed that cryptocurrencies can act as a conduit for illegal activities.
The President conveyed his views at the press conference he held on 11 February. The head of the Central Bank, Matolcsy, has called for a complete ban on all forms of trading in cryptocurrencies. according to the president cryptocurrency units can lead to illegal activities and are highly prone to creating financial pyramids.
To reinforce his proposal for a ban, the president cited the ban in China and also referred to initiatives in Russia. The president, however, most likely didn’t realize or ignored the fact that the Russian authorities had decided to make a regulation instead of the ban.
“The EU must act together to prevent the formation of new financial pyramids and financial bubbles,” the President said in a statement. EU citizens and companies will be allowed to hold cryptocurrencies abroad, and regulators will be able to track their assets.”
Following China’s decision to make all types of cryptocurrencies illegal, Russia’s Central bank has proposed a similar decision. However, Russian officials thought that the consequences of banning cryptocurrencies were worse than the bad effects of cryptocurrencies. So now, the Central Bank of Russia has started to regulate rather than ban cryptocurrencies.
Matolcsy suggested that EU citizens and companies be allowed to own cryptocurrencies outside the EU, and that regulators should monitor their assets. However, Swedish authorities have also called for a ban on crypto mining in the EU due to environmental concerns.