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In the midst of the depreciation that cryptocurrencies have suffered, especially Bitcoin, when falling 50% its maximum value reached in November, the president of the European Central Bank Christine Lagarde, said that they are not worth a penny .
During an interview for the “College Tour” program in the Netherlands, Lagarde said that cryptocurrencies represent a high risk for inexperienced investors who bet on digital assets.
“My very humble assessment is that it is worthless. It is not based on anything. There is no underlying asset that acts as a security anchor”, he said.
Lagarde said that global legislators should establish regulations on operations, since many people will be disappointed with cryptocurrencies.
“I am concerned about those people who think that it will be a reward, that they do not understand the risks, that they will lose everything and that they will feel terribly disappointed, that’s why I think that should be regulated”
The president of the ECB said that she does not own any cryptocurrency, although one of her sons does. “He is a free man.”
In the conversation Lagarde confirmed that there is a project with the ECB to launch a digital euro as a currency scheduled to circulate in four years. She affirms that the form of operation “will be very different” from that of cryptocurrencies.
Lagarde’s statements take place days after Bitcoin, the most important cryptocurrency in the world, depreciated more than 50% of its historical value reached in November, of $69 thousand dollars. Today, Tuesday 24 of May, is quoted in $28,988 Dollars.
Analysts say that the tightening of monetary policy to combat one of the highest inflationary peaks in 40 years in the United States, by the Federal Reserve would have pushed back the flight of risky investments.
One week after the Fed announced a 0.5% increase in interest rates, the largest influx of transactions was reported since October 1200, to buy or sell bitcoins on cryptocurrency exchanges. Were 43,000 applications or about $3,100 millions of dollars worth of bitcoin, according to blockchain analytics firm Glassnode.
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