'We don't have much time left' to regulate crypto, says Bank of France governor

'We don't have much time left' to regulate crypto, says Bank of France governor

Bank of France governor Francois Villeroy de Galhau said that Europe should make crypto regulation a priority or risk digital assets challenging its monetary sovereignty.

At a Paris Europlace financial conference today, Villeroy said he believed the European Union only had “one or two years” left in which to establish a regulatory framework for cryptocurrencies. To not act, according to the central bank governor, would “risk of an erosion of our monetary sovereignty” and potentially weaken the euro.

Our top trading bots

"I must stress here the urgency: we do not have much time left, one or two years," said Villeroy. “On both [digital] currencies and payments, we in Europe need to move as quickly as possible.”

Villeroy called on the EU “to adopt a regulatory framework in the coming months,” given the growing role cryptocurrencies are playing in regional markets. The use of cash declined during the first few months of the pandemic, a trend that Villeroy said could lead to "marginalization of the use of central bank money.”

Related: Bank of France Is Closely Watching Stablecoin Developments, Says Governor

The Bank of France governor has previously warned regulators against the potential risk of cryptocurrencies, including stablecoins and central bank digital currencies, or CBDCs. In September he said big tech companies could potentially build “private financial infrastructures and monetary systems” — including issuing their own stablecoins — which could adversely impact financial sovereignty in the EU for decades.

In January, the bank completed a pilot program for its own CBDC, later reporting investors had purchased and sold 2 million euros — roughly $2.4 million at the time — worth of simulated shares. The Bank of France has said it will conduct other test runs for the digital currency this year. 

Keep reading relating to Cointelegraph
South African asset manager denies stealing billions from users, claims $5M was lost in hack
Raees Cajee, the co-founder of South African crypto investment platform AfriCrypt, has denied claims that he and his brother ran off with billions in investor...
Judge rejects class certification in $400M Mt Gox fraud lawsuit
A federal judge has rejected a bid for class certification from clients of the defunct Japanese Bitcoin exchange Mt. Gox, which was forced into bankruptcy...
El Salvador adopting Bitcoin could make it lose market dominance
El Salvador recently added Bitcoin as legal tender. In barely over a decade, an open-source, cypherpunk, radically new money system, with no publicly known...
Crypto IRA integrates Coinbase Custody as trade volumes top $1.5B
Cryptocurrency IRA and 401(k) provider iTrustCapital has integrated Coinbase Custody into its platform, offering retirement planners more robust security...
Price analysis 6/16: BTC, ETH, BNB, ADA, DOGE, XRP, DOT, UNI, LTC, BCH
Bitcoin’s price (BTC) turned down from just above the $41,000 mark on June 15, suggesting that traders are halting their purchases at higher levels. Traders...
Elon Musk, $40K and no demand: 5 things to watch in Bitcoin this week
Bitcoin (BTC) starts a new week on a pleasant high thanks to a boost from a familiar source, Elon Musk. Are the good times back?After spending weeks languishing...
Nigeria’s central bank plans CBDC pilot launch before the end of 2021
Rakiya Mohammed, an IT specialist at the Central Bank of Nigeria (CBN) has announced that the apex bank is making efforts to float a central bank digital...
Cardano Falls 23% In Bearish Trade
Investing.com - Cardano was trading at $1.455900 by 21:54 (01:54 GMT) on the Investing.com Index on Thursday, down 22.94% on the day. It was the largest...
Cardano Climbs 12% As Investors Gain Confidence
Investing.com - Cardano was trading at $1.274147 by 20:21 (00:21 GMT) on the Investing.com Index on Wednesday, up 11.61% on the day. It was the largest...
Chainlink releases new whitepaper in a shift toward smart contract computations
Chainlink (LINK) has unveiled its new whitepaper on Thursday, which details a planned expansion and pivot into creating oracle networks for computation....
XRP Jumps 23% As Investors Gain Confidence
Investing.com - XRP was trading at $1.90391 by 03:08 (07:08 GMT) on the Investing.com Index on Wednesday, up 22.55% on the day. It was the largest one-day...
Nexo faces lawsuit for liquidating $5m in client collateral amid XRP delisting
United States-based crypto lending platform Nexo is facing a class-action lawsuit over suspension of XRP services on Dec. 23, 2020. The lead plaintiff,...
Cointelegraph Consulting: Hype for NFTs is real, but what about transaction volume?
Covalent’s latest findings in Cointelegraph Consulting’s biweekly newsletter indicate that the nonfungible token, or NFT, market has whales of its own.The...
4NEW - A Token Provided With Electricity
Having announced in October of 2017 about the forthcoming launch of the "world's first cryptocurrency, which is the equivalent of electricity," the team...
Hackers Stole $4 Million From IOTA Wallets
Holders of IOTA reported that they had been thieved for about $4 million of cryptocurrency from their wallets. This was caused by malicious online generators...