Monday, June 5, 2023
No Result
View All Result
SUBSCRIBE
eNaira Online News
  • Home
  • eNaira
  • Capital Market
  • Business
  • Finance
  • Banking
  • PF
  • Companies
  • Crypto
  • Real Estates
  • Opinion
  • Home
  • eNaira
  • Capital Market
  • Business
  • Finance
  • Banking
  • PF
  • Companies
  • Crypto
  • Real Estates
  • Opinion
eNaira Online News
No Result
View All Result

Crypto and Defi Could Pose ‘Real Risks’ to Financial Stability – Regulation Bitcoin News

by e-Naira Online News
June 24, 2022
in Crypto
Reading Time: 3 mins read
A A
0
Home Crypto
Share on FacebookShare on Twitter


ECB Chief Lagarde Says Crypto and Defi Could Pose 'Real Risk' to Financial Stability

The president of the European Central Bank (ECB), Christine Lagarde, says crypto assets and decentralized finance (defi) have the potential to pose “real risks” to financial stability. She has some regulatory suggestions to supplement Europe’s Markets in Crypto Assets Regulation (MiCA) bill.

Lagarde on Crypto Regulation

ECB President Christine Lagarde talked about cryptocurrency regulation at the European Parliament’s Committee on Economic and Monetary Affairs hearing Monday. She said:

We believe, as we are embarking on this work concerning crypto assets and the risk that they pose, that crypto assets and decentralized finance (defi) have the potential to pose real risks to financial stability.

“This would be particularly the case if the rapid growth of crypto-asset markets and services continue … and the interconnectedness with both the traditional financial sector and the broader economy is intensified,” the ECB chief added.

However, she noted: “For the moment, the links between the private sector crypto assets and traditional finance remain still limited — for the moment.”

Lagarde proceeded to talk about the Markets in Crypto Assets Regulation (MiCA) bill. She emphasized that the European Systemic Risk Board (ESRB), which she chairs, “supports the need for quick adoption and implementation” of MiCA.

The ECB chief noted that she is encouraged by the progress of MiCA. However, she added that to her understanding, it “will not be implemented until 2024,” which she stressed “is a long way away.”

Lagarde then suggested some additional provisions to the current MiCA bill. Referring to the MiCA bill with add-on provisions as MiCA2, she explained that MiCA2 “Should address the risk of interconnectedness with respect to financial institutions’ exposure to crypto assets.”

It should also “fully cover decentralized finance (defi)” and regulate crypto staking and lending activities, she said. The ECB boss noted that the current MiCA bill does not cover bitcoin but she hopes it will be covered in MiCA2.

What do you think about the comments by ECB President Christine Lagarde? Let us know in the comments section below.

Kevin Helms

A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

More Popular News

In Case You Missed It





Source link

Tags: BitcoinCryptoDeFiFinancialNewsPoserealRegulationrisksStability
Previous Post

Time to maintain fiscal responsibility

Next Post

‘Derivatives are useful tool for hedging financial risks’ | The Guardian Nigeria News

Related Posts

Coinbase CEO Drops Bombshell Prediction
Crypto

Coinbase CEO Drops Bombshell Prediction

by e-Naira Online News
May 31, 2023
Car Rental Owner Arrested In Bali For Accepting Crypto Payments
Crypto

Car Rental Owner Arrested In Bali For Accepting Crypto Payments

by e-Naira Online News
May 31, 2023
Indian Banks Urged To Embrace AI And Blockchain For Future Readiness
Crypto

Indian Banks Urged To Embrace AI And Blockchain For Future Readiness

by e-Naira Online News
May 31, 2023
Naira gains N20/$ on Binance within a week as USDT reacts to Tinubu’s economic reforms
Crypto

Naira gains N20/$ on Binance within a week as USDT reacts to Tinubu’s economic reforms

by e-Naira Online News
May 31, 2023
Bitcoin lost $1K in hours as Bybit exit Canada
Crypto

Bitcoin lost $1K in hours as Bybit exit Canada

by e-Naira Online News
May 31, 2023
Next Post
‘Derivatives are useful tool for hedging financial risks’ | The Guardian Nigeria News

‘Derivatives are useful tool for hedging financial risks’ | The Guardian Nigeria News

FG launches initiative to boost service-wide financial literacy | The Guardian Nigeria News

FG launches initiative to boost service-wide financial literacy | The Guardian Nigeria News

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
Dollar To Naira Exchange Rate Today (Wed. May 31, 2023)

Dollar To Naira Exchange Rate Today (Wed. May 31, 2023)

May 31, 2023
Why new Kano Governor, Abba Yusuf is seizing public assets sold by Ganduje

Why new Kano Governor, Abba Yusuf is seizing public assets sold by Ganduje

May 30, 2023
Nigeria’s foreign trade falls to N12 trillion in Q1 2023

Nigeria’s foreign trade falls to N12 trillion in Q1 2023

June 5, 2023
African Development Bank To Extend Nearly $1m In Gender-Based Grants

African Development Bank To Extend Nearly $1m In Gender-Based Grants

June 5, 2023
Treasury Bills Buying Deepens Ahead Of CBN Auction

Treasury Bills Buying Deepens Ahead Of CBN Auction

June 5, 2023
Nigerian Breweries Plc To Acquire 80% Stake In Distell Wines and Spirits Nigeria Limited

Nigerian Breweries Plc To Acquire 80% Stake In Distell Wines and Spirits Nigeria Limited

June 5, 2023
The politics of subsidy, moribund refineries and independent marketers

The politics of subsidy, moribund refineries and independent marketers

June 5, 2023
Ignite Investments increase buyout price of Ardova shareholders

Ignite Investments increase buyout price of Ardova shareholders

June 5, 2023
Petrol subsidy removal: Sanwo-Olu asks NLC not to politicize the planned strike, calls for restraint

Petrol subsidy removal: Sanwo-Olu asks NLC not to politicize the planned strike, calls for restraint

June 5, 2023
In 22nd Trading Week of 2023, NASD Swells by N20.35bn

In 22nd Trading Week of 2023, NASD Swells by N20.35bn

June 5, 2023

Get the free newsletter

eNaira Online News

Get the latest news and follow the coverage of eNaira, Business & Financial, Stock Market, Analysis, and more from the trusted sources.

CATEGORIES

  • Banking
  • Business
  • Capital Market
  • Companies
  • Crypto
  • eNaira
  • Finance
  • Opinion
  • Personal Finance
  • Real estate
  • Uncategorized
No Result
View All Result

GET THE FREE NEWSLETTER

  • Disclaimer
  • Privacy Policy
  • DMCA
  • Cookie Privacy Policy
  • Terms and Conditions
  • Contact us

Copyright © 2022 e-Naira Online News.
e-Naira Online News is not responsible for the content of external sites.

No Result
View All Result
  • Home
  • eNaira
  • Capital Market
  • Business
  • Finance
  • Banking
  • PF
  • Companies
  • Crypto
  • Real Estates
  • Opinion

Copyright © 2022 e-Naira Online News.
e-Naira Online News is not responsible for the content of external sites.