A senior European Central Bank official has launched a tirade against cryptocurrencies, likening them to a “Ponzi scheme” and calling for a regulatory clampdown to avoid a “lawless frenzy of risk-taking”.
Fabio Panetta, the executive board member who oversees the ECB’s work on a digital euro, appealed for “co-ordinated efforts at the global level to bring crypto assets into the regulatory purview” by increasing taxation, tightening rules against money laundering and improving disclosure in the fast-moving market.
The central bank has little power to clamp down on the market except through its role in supervising major eurozone banks and overseeing financial stability.
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