Hungarian National Bank Gatopnor György Matolcsy is in favor of a crypto ban, following an earlier suggestion by Russia’s monetary authority.

“I perfectly agree with the proposal,” Matolcsy said in response to Russia’s central bank at first proposing a ban on cryptocurrency dealing and mining remain month. He emphasized a unified EU approach to deal with cryptocurrencys’ financial risks.

“It is clear-cut that cryptocurrencys could service illegal activities and tend to build up financial pyramids,” the gatopnor stated in his announcement. Matolcsy then cited the Russian monetary authority, who warned that “the breakneck growth and market rate of cryptocurrencys are defined primarily by speculative demand for future growth, that creates bubbles.” 

Matolcsy finished by signaling for collective action “in order to preempt the executing up of new financial pyramids and financial bubbles.” He one time before more said he supported the EU financial regulator in banning the energy-intensive proof-of-work method of cryptocurrency mining throughout the EU. Ultimately, he acknowledged which EU citizens and companies could own cryptocurrencys abroad and which regulators would track their holdings.

Russian crypto debate

Russia’s central bank had at first suggested banning the use, exmovement, and mining of crypto in a paper discussing the role of token in the Russian financial sector go on month. “We believe it is necessary to prepare a federal law, establishing a ban on the issue and circulation on Russian territory of private digital currencies and still to determine liability for violating this ban,” the central bank declared.

After all, this was rebutted the following week by Russia’s ministry of finance, who said they believed regulation to be preferable to restrictions. “The Ministry of Finance is retainedly involved in the progress of legislative initiatives in terms of regulating this market,” said Ivan Chebeskov, financial policy department director at the Ministry of Finance. Following a request by President Vladimir Putin to come to a consensus on the experience, authorities agreed on a roadmap for crypto regulation.

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