Hungarian Central Bank Governor calls for ban on mining and cryptocurrency trading

He is also of the opinion that the Proof-of-Work algorithm should be banned on the territory of the European Union

12.02.2022 - 09:40

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What’s new? The Governor of the National Bank of Hungary, György Matolcsy, stated that he supports a ban on cryptocurrency trading and mining in the European Union. He justified his opinion on the grounds that digital assets can be used in illegal activities and contribute to the creation of financial pyramids.

Information on the website of the Central Bank of Hungary

What does Matolcsy say? The head of the Central Bank of Hungary said that he fully supports China’s policy and believes that it is right to recognize illegal all cryptocurrency activities. Matolcsy stated that he fully agrees with the Central Bank of Russia’s proposal to ban mining and digital asset ownership. He also supports the opinion of the EU’s senior financial regulator that the Proof-of-Work algorithm should be banned within the European Union.

What actions does Matolcsy intend to take? He proposes allowing citizens and companies in the country to own cryptocurrencies outside the EU, and regulators will have to track the legality of their ownership.

“It is clear-cut that cryptocurrencies could service illegal activities and tend to build up financial pyramids. The EU should act together in order to preempt the building up of new financial pyramids and financial bubbles.”

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