Crypto News – Despite market euphoria, the European Central Bank (ECB) has reaffirmed its opposition to cryptocurrency. The most recent spot Bitcoin ETF approvals by the SEC have not convinced the institution.
ECB Dissatisfied: Still Doesn’t Like Bitcoin as Dissatisfied with ETF Approvals
A post was made on the ECB’s official blog on February 22 by Jürgen Schaaf, an adviser to the Market Infrastructure and Payments division, and Ulrich Bindseil, the division’s director general. The assertion that the prior rally was “proof of an unstoppable triumph” and that the U.S. licensing of spot Bitcoin ETFs proves that BTC investments are secure is rejected by the writers. The bankers claim that Bitcoin still has no fair value.
For society, a renewed boom-bust cycle of Bitcoin is a dire perspective. And the collateral damage will be massive, including the environmental damage and the ultimate redistribution of wealth at the expense of the less sophisticated.
bankers
Could ETFs be an Overrated Bubble?
Bindseil and Schaaf argue that Bitcoin has fallen short of its initial goal of being a worldwide decentralized digital money, citing their post from 2022 on the same blog. As per their assertions, Bitcoin is not a good investment option since it does not yield any cash flow or dividends, is not conducive to productive use and does not provide any subjective recognition for exceptional abilities or social value.
Though they acknowledge that the price of Bitcoin was driven by anticipation of the ETF approvals, the ECB executives think it may be “a flash in the pan.”
There is no “proof-of-price” in a speculative bubble. Instead, a reflation of the speculative bubble shows the effectiveness of the Bitcoin lobby.
bankers
Leave a comment