The new president of the ECB may greatly alter the attitude of regulators to cryptocurrencies as a whole. According to the crypto community, the European Central Bank (ECB) policy on cryptocurrencies would become more favorable. Do this requires to nominee Christine Lagarde for the presidency of the ECB.

Lagarde has regularly stressed the importance of cryptocurrency assets’ regulation. However, this spring, she released a report that claims that the financial sector is not devoted much time to cryptocurrencies. She argued that cryptocurrency would help financial markets to operate more efficiently, as it is inexpensive to use and increases the speed of transactions.

At the same time, the massive adoption of cryptocurrency could destabilize the global economy. This is another reason why governments should not ignore crypto globally.

In turn, the ECB Council does not object to the candidate Christine Lagard for the post of President of ECB, according to the press release posted on the official website of the regulator.

The final decision will be published shortly in the Official Journal of the European Union, will be made available on the ECB’s website.

The present president of the ECB, Mario Draghi, has frequently noted that cryptocurrency is a rather risky asset. But he did nothing to develop the digital sphere. In turn, Lagarde intends to reveal a clear plan for interaction with the crypto space. Investment in the digital sector is the main step to implement her plan.

When the digital economy attracts billions of dollars, the technological development of the eurozone will accelerate at a significant pace. This will benefit the EU to take a leading position as a technological state in a global arena.

To date, such large giants as J.P. Morgan and Facebook are already exploring possible ways for the legitimate launch of their cryptocurrencies, attracting the attention of the whole world to their developments.

The crypto community trusts Lagarde and believes that she will take legislative measures that will help to develop the digital segment of the economy.

Regarding the Facebook project Libra, European Central Bank Executive Board member Benoit Coeure believes that regulators should not create a vacuum for the development of projects like Libra since they need serious monitoring. He will lead the G7 working group on stablуcoins, which will also study the Facebook initiative. Coeure is a person holding the same views as Lagarde and it is not surprising if he invests his contribution to the development of the crypto sector in the future.

What Do Other Representatives of ECB Judge Of Cryptocurrency

According to representatives of the ECB, digital currencies can potentially affect financial stability only if digital assets are recognized as substitutes for deposits and cash, which means that as long as they do not pose a threat. Nevertheless, to date, cryptocurrency does not determine as the mean of money, and its use cases are limited.

According to members of ECB, one of the main barriers of using cryptocurrencies as money is the absence of a specific institution that protects the value of cryptocurrency assets.