April 26, 2022

Fabio Panetta Links Crypto Assets to a 'Ponzi Scheme'

The European Central Bank (ECB)'s Executive Board member, Fabio Panetta, has linked crypto assets to a "Ponzi scheme" that derives value from greed.

He further highlighted the necessity to impose clear regulations on crypto assets to prevent a "lawless frenzy of risk-taking."

Panetta compares the crypto market to the 2008 financial crisis. He gave an amazing analogy about America's history and the global financial crisis, the credibility of banks, and the new era of new media. 

All are seeking to expand digital finance. Crypto supporters are trying to create heaven on earth by fuelling the crypto bubble.

El Salvador is the first country to adopt bitcoin payments via a centrally managed wallet. In reality, it is bringing instability and insecurity. 

"Chaos is a Ladder" from Game of Thrones. He was talking about the character called "Littlefinger" and was compared to crypto investors. 

At present, the ECB is focusing on the digital euro and protecting the monetary system.