Cryptocurrency Ban Urged By European Parliament Member Amid Banking Turmoil

Van Overtveldt made the feedback on Twitter, amidst rising issues in regards to the banking sector, as Silicon Valley Financial institution, Signature Financial institution, and Credit score Suisse face difficulties.

Curiously, Van Overtveldt’s feedback got here because the European Parliament prepares to vote on “landmark crypto licensing guidelines for the bloc,” in line with Coindesk. Van Overtveldt’s suggestion to implement a strict ban on cryptocurrencies has been met with combined reactions. Some specialists argue that the expertise underlying cryptocurrencies has nice potential for creating financial worth.

Van Overtveldt argues that cryptocurrencies are purely speculative and lack any important financial or social worth. He has additionally advised that if the federal government bans medication, it also needs to ban cryptocurrencies.

The contagion from the latest points at Silvergate, Silicon Valley Financial institution, and Signature Financial institution might have influenced Van Overtveldt’s stance. As board member Barney Frank commented, the closure of Signature Financial institution despatched a “sturdy anti-crypto message” from regulators.

Regardless of Van Overtveldt’s feedback, the crypto business continues to evolve and develop, with an growing variety of establishments and people investing in cryptocurrencies. Because the business matures, laws will possible proceed to evolve to stability innovation with the necessity to defend buyers and the broader monetary system.

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