Christine Lagarde, head of the European Central Bank (ECB), answered the question of whether central banks will start holding Bitcoin, as a growing number of companies like Tesla are adopting cryptocurrencies. Lagarde continues to be skeptical about Bitcoin, saying he “did some funny work” recently.
ECB Chairman Christine Lagarde Says Central Banks Will Not Hold Bitcoin
After Elon Musk’s Tesla invested $ 1.5 billion in Bitcoin, the head of the European Central Bank (ECB), Christine Lagarde, clarified whether central banks will hold Bitcoin.
In a conference call hosted by The Economist on Wednesday, Lagarde stated that he does not see bitcoin as a real currency and stressed that central banks will not keep it as a reserve currency. The following words were quoted by Business Insider:
Not likely. I can say that this is not the case.
Lagarde recently urged all countries, especially the G7 or G20 countries, to introduce more regulation to bitcoin. She said that Bitcoin is “a highly speculative entity that does some funny business and some interesting and totally reprehensible money laundering activities.” Many people soon emphasize that he was wrong and that most of the illegal activities are done in fiat currencies.
The head of the ECB stated that although he was skeptical of cryptocurrencies such as Bitcoin, the coronavirus epidemic is driving economies to adopt faster digital and the digital euro could be ready in four years.