The crypto market recently received sharp criticism from the European Central Bank (ECB) president, Christine Lagarde. According to her, crypto assets are worth nothing.
The ECB president’s statement was published last Sunday (22). Christine spoke about crypto assets while participating in a talk show in the Netherlands. She was emphatic, stating that digital currencies are based on nothing.
The executive also said that her opinion is “humble” in the face of what the crypto market represents. However, this is not the first time Christine Lagarde has criticized the sector.
“My very humble assessment is that it is worthless, it is not based on anything, there is no underlying asset to act as a security anchor”.
ECB president criticizes crypto market
The president of the ECB said that crypto assets have no market value. Christine Lagarde explained that digital currencies have no anchoring with other assets to justify her opinion.
As such, crypto assets like bitcoin are worthless to the ECB president. However, she acknowledges that the crypto market could be different with the rise of central bank-controlled digital currency projects, also known as CBDCs.
Christine Lagarde even cites the digital euro, which the group of countries may develop by 2026. Therefore, for her, until CBDCs are launched, the crypto market will continue to be worthless.
“The day we have the central bank digital currency, or else the digital euro, I guarantee, then the central bank is behind it, and I think it will be very different from many of these things”.
Previously, in late March 2022, Christine Lagarde criticized the crypto market in another statement. During the Bank for International Settlements Innovation Summit, she said digital currencies are a threat. Also, in early 2022, the ECB president proposed crypto market regulation for Europe.