European banker criticizes bitcoin for its ‘social costs’ but ignores high inflation

Fabio Panetta, a member of the European Central Bank (ECB) Board of Directors, is back in line against Bitcoin (BTC) and cryptocurrencies. Now he has called for a tax on digital assets because of the alleged high social costs.

“In Europe, given the negative externalities that crypto-currency activities can cause in various member states, The European Union should introduce a tax this makes it difficult for international issuers, investors and cryptographic service providers,” Panetta said in a statement. language London Business School, collected on the ECB’s official website.

Tax could high energy and environmental costs An ECB spokesman said it was related to some “cryptomining and validation” activity.

An Italian banker credited with rejecting cryptocurrencies has said they “provide no benefit to society”. Among their arguments is the already well-known anti-bitcoin narrative, such as the contamination of Bitcoin mining, its volatility, and its perceived lack of use for payments.

As reported by CriptoNoticias, Panetta most recently to speak about cryptocurrencies was at Columbia University last April when he compared them to the Wild West.

Since then, Panetta has amplified his words by arguing them on the fall of the algorithmic stablecoin. Terra USD (TUSD) and more recently the collapse of the American exchange FTX, despite the fact that bitcoin and other cryptocurrencies are not related to bad driving that these companies had.

Something Panetta missed in her speech was this affects European society on a daily basis, there is high inflation. Just three months ago, the EU faced higher inflation (10.9 percent) from that region due to factors related to money printing, geopolitical instability, and the energy crisis.

Latin America has less than 1% of Bitcoin Lightning network nodes

All this is possible though in countries like France power outages controlled during the winter to prepare the population for energy shortages due to supply problems.


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