Crypto must be banned in the identical approach that governments ban medicine, Johan Van Overtveldt, a member of the European Parliament and the previous Minister of Finance of Belgium, stated in a tweet.
His controversial sentiments rapidly sparked a heated response on Twitter, together with that from Cardano founder Charles Hoskinson.
Van Overtveldt’s remarks come within the wake of the latest failures of three U.S. banks – Silicon Valley Financial institution, Signature Financial institution, and Silvergate Financial institution – calling digital property “speculative poison.”
Crypto Has ‘No Financial, Social Worth?’
Because the European Parliament gears up for an important vote on revolutionary digital asset licensing laws for the European Union, Van Overtveldt, who serves because the financial consultant for a coalition of 64 EU legislators, expressed his views on the matter.
Van Overtveldt tweeted:
“If a authorities bans medicine, it must also ban crypto.”
He additionally diminished such property to having “no financial or social worth.”
Nog een les te trekken uit de huidige bankcommotie. Leg een strikt verbod op cryptocurrencies op. Speculatief gif en geen enkele economische- of sociale toegevoegde waarde. Als een overheid medicine verbiedt, moet ze ook crypto’s verbieden.
— Johan Van Overtveldt (@jvanovertveldt) March 17, 2023
The EU remains to be within the means of implementing a complete regulatory framework for its digital foreign money business. This legislative package deal, referred to as Markets in Crypto Property (MiCA), was authorized by EU establishments and member states in the summertime of final yr.
Its intention is to ascertain a set of tips for cryptocurrency service suppliers working inside the 27 member international locations of the bloc.
Charles Hoskinson, Cardano Founder. Picture: Cointribune
Charles Hoskinson Reacts
In the meantime, Charles Hoskinson, the creator of the Cardano blockchain, has expressed his perspective on politicians who’re attributing the downfall of main U.S. banks solely to cryptocurrencies.
In response to an article protecting Van Overtveldt’s proposal to ban these digital asset sorts, he implored the digital foreign money group to stay steadfast and compile a document of politicians who oppose it. By doing so, come election time, they may have the data mandatory to pick solely candidates who assist crypto.
The central banks and politicians created this banking disaster and now they’re blaming crypto https://t.co/LjUou7TTgm don’t fall for it and preserve an inventory to recollect on the poll field when election time comes. Be a single problem crypto voter
— Charles Hoskinson (@IOHK_Charles) March 17, 2023
Because the repercussions of the banking disaster proceed to unravel, quite a few U.S. legislators have asserted that the interconnections between monetary establishments and bitcoin corporations performed a job of their downfall.
The occasions started with Silvergate’s determination to liquidate voluntarily on March 8, adopted by Silicon Valley Financial institution on March 10, as a financial institution run ensued. New York regulators then took over Signature Financial institution on March 12.
Crypto whole market cap at somewhat over $1 trillion on the weekend chart at TradingView.com
A number of EU politicians have additionally lately taken intention at cryptocurrency, citing issues about its potential to facilitate illicit actions resembling cash laundering and terrorism financing. Others have expressed related sentiments as Van Overtveldt, arguing that cryptocurrency’s anonymity and lack of regulation make it a first-rate goal for criminals.
These criticisms have sparked a heated debate inside the EU over the function of bitcoin and different digital currencies within the fashionable financial system and its potential dangers and advantages.
-Featured picture from Reuters