The European Central Bank (ECB), which supports the view that cryptocurrencies, especially Bitcoin (BTC), are risky assets, repeated this approach in a post published today.
Sharing on its official account, X, the European Central Bank said that Bitcoin has failed to become a global, decentralized digital currency.
“Bitcoin has failed to become a global, decentralized digital currency, instead falling victim to fraud and manipulation.”
Bitcoin has failed to become a global decentralised digital currency, instead falling victim to fraud and manipulation.
The recent approval of an ETF doesn’t change the fact that Bitcoin is costly, slow and inconvenient, argues #TheECBBloghttps://t.co/e9Ek01Dism pic.twitter.com/ddBFsv4g0w
— European Central Bank (@ecb) February 22, 2024
In a blog post addressed by advisors to the European Central Bank, they escalated their criticism and claimed that Bitcoin had failed as a global decentralized currency.
In the article written by ECB advisors Ulrich Bindseil and Jürgen Schaaf, he said:
“The U.S. Securities and Exchange Commission's approval of spot Bitcoin exchange-traded funds in January was described as “the naked emperor's new clothes.”
These confirmations did not change the reality of Bitcoin. “Bitcoin is still not suitable as a means of payment or investment.”
The consultants also argued that Bitcoin transactions were still “inconvenient, slow and costly” and said BTC was “almost never used for payments” outside of criminal activity on the dark web.
“Even El Salvador, which accepts Bitcoin as a legal currency, has not been able to prove that Bitcoin is a successful payment instrument,” the consultants said on this matter. said.
ECB advisors recently touched upon Bitcoin mining and stated that BTC mining “continues to pollute the environment on the same scale.” They added that higher Bitcoin price means higher energy consumption.
The same ECB advisors also claimed in a post in November 2022 that Bitcoin was “on its last breath.”
*This is not investment advice.
