ECB accused of inaction if bitcoin collapses – Austrian Central Bank Governor

ECB accused of inaction if bitcoin collapses – Austrian Central Bank Governor

For the last six months, Ewald Novotny, who is the head of the Central Bank of Austria and a member of the board of directors of the European Central Bank, is sounding the alarm about cryptocurrencies. Yet in May he compared the growth of the exchange rate bitcoin with tulip mania of the 17th century, when flowers in Amsterdam cost so much the same, as well as at home in the city itself. In July Novotny called on regulators convert attention to the digital “object of speculation”, but ECB President Mario Draghi stated, what do him department has no authority to Togo, to control bitcoin.

At that time how the bitcoin rate is approaching the $ 10 level.000, Novotny expresses again their fears. Austrian Central Bank Chairman is confident that the bitcoin bubble could burst, which in turn will have a negative impact on the economy, and then ECB and European Central Banks may accuse of inaction.

“The problem with bitcoin in Tom, what he can explode easily, and then central banks will be accused of they are did nothing, ”he said. “So we try to understand, must whether banking activities in respect trade in cryptocurrencies is better regulated “.

About two weeks ago Novotny reported, what ECB legislators are considering possibility intervention in trade cryptocurrencies, including following the example of China. Later Mario Draghi stated, that the ECB does not believe that cryptocurrencies are dangerous for the euro area due to their low popularity in Europe.

Photo: Travel_Master

ECB accused of inaction if bitcoin collapses - Austrian Central Bank Governor