Bank of England boss Mark Carney branded cryptocurrencies a failure
Digital currencies such as bitcoin face a crackdown after Bank of England boss Mark Carney launched a scathing attack.
In a speech at the Scottish Economics Conference in Edinburgh, he branded cryptocurrencies a failure – a lottery that exhibits the classic hallmarks of bubbles that attract ‘fools’.
Carney added: ‘Crypto-assets raise a host of issues around consumer and investor protection, market integrity, money laundering, terrorism financing, tax evasion, and the circumvention of capital controls and international sanctions.’
His attack came as bitcoin’s value continues to gyrate wildly, having hit nearly $20,000 late last year.
It was $10,890 yesterday.
Regulators in countries such as China and India have expressed concern about bitcoin, and Germany’s Bundesbank wants global regulation.
Carney said: ‘[It’s time] to hold the crypto-asset ecosystem to the same standards as the rest of the financial system.’
A Bank committee is studying the risks posed to UK financial stability by cryptocurrencies.