Bitcoin: for the European Central Bank, the most famous cryptocurrency is obsolete

In an article published on the website of the European Central Bank, its boss, Ulrich Bindseil, says all the bad things he thinks of the most famous cryptocurrency. The market, which never ceases to collapse, really did not need such an influential voice raised against it.

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The president of the main monetary institution of the European Union is attacking hard. In his article titled: “Bitcoin’s Last Stand”, he puts the evolution of the value of Bitcoin in context. According to him, if one bitcoin was worth $69,000 a year ago, it is now hovering around $20,000. ” Even though proponents of this cryptocurrency claim this heralds a reboot to new highs, it’s more likely a last artificially induced jolt before total obsolescence “.

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The leader says the fall was predictable long before FTX went bankrupt. For him, putting money into Bitcoin is a very bad idea. Only big Bitcoin investors “have an interest in maintaining the euphoria”. Why else, despite the bad market conditions, would the big names in venture capital continue to invest in all kinds of virtual currencies?

For the leader, the value of Bitcoin will no longer reach the heights of yesteryear, quite the contrary

To all who claim that blockchain and cryptocurrencies will revolutionize the banking system and financial, he replies that these technologies have so far brought nothing to society. To believe it, bitcoin transactions are complicated, slow and destroy the environment. Their volatility prevents them from becoming real currencies of exchange: “Bitcoin has never been used in a significant way for transactions in the real world”, which is why it is above all an instrument of speculation.

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To all players in the financial sector, the President of the ECB issues a warning: even if short-term profits are possible with bitcoin“the long-term damage it can cause and the negative impact on the reputation of the entire industry will be enormous once bitcoin investors suffer additional losses.”

Source: ECB

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