Crypto News

Irish central bank governor says crypto investors could lose all their money

Despite being worried about consumer protection, the central banker is confident that Bitcoin is no threat to financial stability.

As the Bitcoin (BTC) price sees a sharp upsurge, the governor of the Central Bank of Ireland has voiced his concerns about cryptocurrency investments.

Gabriel Makhlouf, who is also a governing council member of the European Central Bank, warned the public about the risks of crypto investment on Bloomberg TV this Friday. The central banker specifically referred to a recent warning by the United Kingdom’s Financial Conduct Authority on Jan. 11:

“As the U.K. authority said a few weeks ago […] if people want to invest in Bitcoin they’ve got to be prepared to lose all their money. That’s certainly my view.“

According to Makhlouf, consumer protection is now the most important task of local regulators as investors are clearly considering cryptocurrencies like Bitcoin as assets for investment. Despite growing concerns about consumer protection, Makhlouf appeared to be confident that cryptocurrencies like Bitcoin do not pose a threat to global financial stability:

“Personally, I’m not sure why people invest in those sorts of assets, but they see them as assets clearly, and they see them as investments. Our role is to make sure that consumers are protected. I see that as the main role, I don’t see financial stability issues at the moment arising from Bitcoin itself. I worry more about consumers making the right choices.”

Some key crypto community members have taken issue with Makhlouf’s statements. Founder and CEO of Galaxy Digital Mike Novogratz argued that unlevered Bitcoin investment is not as risky as the central banker implied.

Makhlouf’s remarks echo those of European Central Bank President Christine Lagarde, who on Jan. 13 called on global regulators to tighten rules for crypto, calling Bitcoin “funny business.”

At publishing time, Bitcoin is trading at $37,338, up around 18% over the past 24 hours. 

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Follow us on social media!

Disclaimer: The opinions expressed within this article are the personal opinions of the author. The facts and opinions appearing in the article do not reflect the views of CoinChapter and CoinChapter does not assume any responsibility or liability for the same.

(This story has not been edited by CoinChapter staff and is auto-generated from a syndicated feed.)
0 Comments
Inline Feedbacks
View all comments
CoinChapter

Founded in 2015, Coinchapter.com has become one of the leading resources for the crypto asset community. Created by a small group of cryptocurrency enthusiasts, Coinchapter.com was built to provide new members of the crypto asset community with unbiased listings of cryptocurrency exchanges and retail options that would allow them to buy the crypto assets that they wanted, how they wanted and at the price they wanted.

Related Crypto News

Bitcoin Wobbles Around $50,000 but Downside Risks Persist; What’s Ahead?
Bitcoin was fluctuating above and below $50,000 during the Thursday session as traders received mixed signals from the macroeconomic...
Craig Wright Suing Bitcoin Developers Over $5 Billion In Stolen BTC
Craig Wright is targeting Bitcoin developers in his latest lawsuit within the industry. Wright is suing the developers requesting...
Swiss Private Bank Bordier & Cie SCmA To Offer Crypto Services To Its Customers
Leading Swiss bank Bordier & Cie SCmA will soon be entering the crypto market space. The private bank announced...
Grayscale Loses $4.1 Billion In Crypto Following Bitcoin Price Drop
Grayscale losses big as Bitcoin price dropped down to the $44,900 range. Grayscale total amount of crypto assets under...
Binance’s BNB Coughs Out Massive Intraday Gains as Bitcoin Recovers
BNB pared a huge portion of the losses it faced earlier this week amid a broader recovery across the...
Brave To Add DEX Aggregator, NTF Wallet In Next Browser
Privacy-focused web browser Brave plans to launch a new NFT wallet that will integrate DEX aggregator with non-fungible token...

Featured Crypto News

Bitcoin Wobbles Around $50,000 but Downside Risks Persist; What’s Ahead?
Bitcoin was fluctuating above and below $50,000 during the Thursday session as traders received mixed signals from the macroeconomic...
Craig Wright Suing Bitcoin Developers Over $5 Billion In Stolen BTC
Craig Wright is targeting Bitcoin developers in his latest lawsuit within the industry. Wright is suing the developers requesting...
Swiss Private Bank Bordier & Cie SCmA To Offer Crypto Services To Its Customers
Leading Swiss bank Bordier & Cie SCmA will soon be entering the crypto market space. The private bank announced...
Grayscale Loses $4.1 Billion In Crypto Following Bitcoin Price Drop
Grayscale losses big as Bitcoin price dropped down to the $44,900 range. Grayscale total amount of crypto assets under...
Binance’s BNB Coughs Out Massive Intraday Gains as Bitcoin Recovers
BNB pared a huge portion of the losses it faced earlier this week amid a broader recovery across the...
Brave To Add DEX Aggregator, NTF Wallet In Next Browser
Privacy-focused web browser Brave plans to launch a new NFT wallet that will integrate DEX aggregator with non-fungible token...