Altcoin News: Christine Lagarde Calls for a Balanced Approach to Cryptocurrency Regulation

September 5, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

European Central Bank (ECB) presidential candidate Christine Lagarde called for a balanced approach to regulating digital currencies.

In a statement to the Economic and Monetary Affairs Committee of the European Parliament, Lagarde emphasized that central banks should ensure stability and security in the financial sector. However, at the same time, regulators should be “open to new opportunities”, and, according to Lagarde, it is cryptocurrencies that can become the flagship of innovation.

“In this environment, central banks and supervisors need to ensure the safety of the financial sector, but also to be open to the opportunities provided by change. In the case of new technologies — including digital currencies — that means being alert to risks in terms of financial stability, privacy or criminal activities, and ensuring appropriate regulation is in place to steer technology towards the public good. But it also means recognising the wider social benefits from innovation and allowing them space to develop, ”said the ECB presidential candidate.

In April, Lagarde expressed the opinion that blockchain companies are shaking the traditional financial system and have an impact on its participants. At the same time, the former chairman of the International Monetary Fund (IMF) urged the Central Bank (CBDC) to explore the concept of digital currency in light of the declining demand for cash and the growing preference for digital money.

Author: Marko Vidrih