CryptoCodex: ECB President Reveals Digital Euro ‘Guarantee’ After Bitcoin, Ethereum And Crypto Price Crash – Forbes

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Cryptocurrency prices, including bitcoin, ethereum, BNB and solana, have climbed after a quiet … [+] weekend.
Cryptocurrency prices are looking more stable this week after a quiet weekend. The bitcoin price has ticked slightly higher, up 1% on this time yesterday, despite a warning that its structure looks “strikingly similar to late 2018’s 40% sell-off.”
Ethereum and the rest of the crypto top ten are looking even better than bitcoin with ethereum trading 2% and its biggest rivals BNB, solana and cardano all up between 1% and 5%.
Good to know: The future of crypto trading is futures
European Central Bank (ECB) president Christine Lagarde is well known as a cryptocurrency skeptic.
Know your worth: European Central Bank (ECB) president Christine Lagarde, an outspoken crypto critic, has said cryptocurrencies are “worth nothing,” “based on nothing” and should be more closely regulated to prevent people speculating on them with their life savings.
Stay humble: “I have said all along the crypto assets are highly speculative, very risky assets,” Lagarde told a Dutch television show in an interview that was aired on Sunday and first reported on by Politico. “My very humble assessment is that it is worth nothing. It is based on nothing, there is no underlying assets to act as an anchor of safety.”
Why it matters: While Lagarde said that cryptocurrencies have no value, she is able to “guarantee” a digital euro because the ECB would back it. The ECB is in the very early stages of developing a digital euro, which isn’t expected to see the light of day for at least four years. “The day when we have the central bank digital currency out, any digital euro, I will guarantee—so the central bank will be behind it and I think it’s vastly different than many of those things,” Lagarde said, referring to bitcoin and other cryptocurrencies.
Zoom out: Lagarde has been closely watching the cryptocurrency space for some time. Back in April 2019, shortly before she took on the ECB top job, she warned that cryptocurrencies were “shaking the system.” “I think the role of the disruptors and anything that is using distributed ledger technology, whether you call it crypto, assets, currencies, or whatever … that is clearly shaking the system,” she said.
Family matters: Lagarde said she follows the crypto space “very carefully” as one of her sons has invested, against her advice. “He’s a free man,” she said, adding that she hasn’t put any money into any coins herself.
Hubris: Elsewhere, the U.K.’s chief financial regulator cautioned against adding crypto markets to his agency’s territory too quickly after the British government said it wanted to make the U.K. a crypto hub, the Financial Times reported. “It’s critical that . . . there are strong safeguards to ensure that all interests—not just the interests of people making money from pushing crypto products, but also the interests of the people whose savings will be put at risk — are heard,” Charles Randell said in a speech on Friday. “That requires a strong and independent financial conduct regulator.”
Even field: Meanwhile, finance ministers from the world’s seven largest developed economies (G7) have called for crypto markets and companies to be held to the same standard as the rest of the financial system, pointing to the collapse of stablecoin terraUSD (UST) as a warning sign. “The G7 remains committed to high regulatory standards for global stablecoins, following the principle of same activity, same risk, same regulation,” the group said in a statement, confirming reports that the Financial Stability Board (FSB) has been asked to speed up its work in the wake of the UST meltdown and subsequent crypto crash.
Now read this: Crypto might have an insider trading problem
🎨 The Twitter account of digital artist Beeple, who last year helped the non-fungible token (NFT) craze to blast into the stratosphere with his record-breaking $69 million NFT sale, was hacked over the weekend and used to promote a crypto scam.
📤 “Beeple’s Twitter account has been compromised (ATO) to post a phishing website to steal funds,” a security researcher posted to Twitter early Sunday morning alongside a screenshot of the hacker’s post.
💰 Victims have been tricked into sending at least 35 ethereum, worth over $70,000, to the scam address, it was reported by The Block.
Good to know: Former BitMEX CEO Arthur Hayes sentenced to two years probation
👀 Look out for these cryptocurrency and crypto-adjacent events this week.
🏞 After kicking off yesterday, this year’s delayed World Economic Forum (WEF) in the Swiss mountain town of Davos is running through until Thursday, with business and political leaders already generating plenty of bleak headlines.
Ripple SVP says crypto winter provides an opportunity to build
🇳🇴 Alongside Davos, the Oslo Freedom Forum is being held from today through to Wednesday with some big bitcoin and crypto names on the speaking list, including economist Lyn Alden, Strike chief executive Jack Mallers and Lightning Labs CEO Elizabeth Stark.
💻 Stock markets are likely to be driven by the last few first-quarter earnings results this week, with hard-hit retailers and pandemic-era winners in the spotlight. Video conferencing company Zoom reports today.
🧑‍⚖️ Craig Wright (who claims without evidence to be bitcoin’s mysterious creator Satoshi Nakamoto) gets another day in court today as his lawsuit against the podcaster Peter McCormack gets underway at London’s High Court. Wright is suing McCormack over tweets he thinks are defamatory.
Dr Bitcoin’ lawyers up for courtroom jamboree
🐦 Twitter holds its annual general meeting on Wednesday amid Elon Musk’s stalled takeover attempt. Expect fireworks.
🏦 Also on Wednesday, the Federal Reserve’s Federal Open Market Committee releases minutes of its May meeting, potentially shedding light on officials’ thinking around interest rate hikes and inflation.
Now read this: Crypto is starting to lose its cool—just look at El Salvador


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