Crypto Disaster in Europe: ECB prohibits state crypto-currencies

Many applications in the Crypto area have large disruptive Potential. All crypto-currencies. Often it is presented in a way that States are, in principle, currencies of the Crypto to hold on to their money monopoly and Power. But this is only partly true. While for some countries, the public, censorship-resistant crypto-currencies such as Bitcoin and Ethereum are a thorn in the side, others see the developments as positive. Among these countries, Estonia. The European country wants to participate in the Innovation in the financial sector and to its own national Cryptocurrency “Estcoin” develop. What the Crypto Community to recognise the positive, because in order for the Crypto Adoption will be driven forward, not to find all well. The head of the European Central Bank (ECB), Mario Draghi, is now clearly against the attempt of a country of the Euro-Zone of its own (crypto)-to develop currency.

Crypto has no Chance – ECB sees the Euro

The project in Estonia to develop its own crypto-currency from the point of view of Crypto Fans. With his statement, the ECB pushes in the Person of Mario Draghi this project, it has a bar. The specific words of Draghi during a press conference in Frankfurt last week:

No member state (the Euro Zone) can introduce its own currency….The currency of the Euro Zone is the Euro.

The statements of the ECB bosses are not only directed specifically to crypto-currencies, but according to his formulation against any attempt by individual States issuing their own currencies.Trading on BitMEX, with up to 100-fold leverage. Do you want to move also larger sums, but the money is missing? On BitMEX, you can act through the lever with 100€ a volume of up to€ 10,000 and your profit times the verhundert. Of thinking but always remember, the higher the leverage, the greater the risk! Now on BitMEX sign up.

Crypto change of view of the ECB

Yet not too long ago, the General opinion of the ECB sounded more neutral and more relaxed. It is said in an ECB Report from a few months ago:

Crypto-Assets does not fulfill the functions of money and as of today, neither a significant impact on the real economy have a significant impact on the monetary policy.

The opinion that Crypto has no impact on the monetary policy, is likely to have changed apparently, which is likely to have led Draghi to be more clearly formulated statement of Friday. Evil tongues claim that Draghi is directed to answer by the fear to lose the monopoly control over the money supply. Maybe this change of mood by the growing realization is fueled that crypto-currencies but faster an important role in the financial system could play as intended.

Crypto Pioneer Estonia

The Baltic country of Estonia is the part of the state is a pioneer in terms of Crypto. As the first European country were to want to develop public understanding of its own digital currency. With the “Estcoin” to be offered the 20,000 “Digital citizens” of the country, who hold an E-Residency is inherent in a country’s borders-border flexibility. As “Digital citizens” can be described in Estonia, the people who perceive the opportunity to secure a Estonian citizenship, without a fixed residence in the country. This possibility, Estonia offers since 2014 and is used mainly by foreign businessmen.Draghi’s words are clear. It remains to be seen how the government in Estonia is dealing with the statements and what this means for the project “Estcoin”.What do you think of the statements of the ECB bosses? How do you think Estonia will deal with it? Come in to our Telegram Chat and talk with the experts and the Community. Subscribe to our News channel to not miss any News. (Image Source: Shutterstock)

About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.