Bitcoin FUD spreading again in crypto world thanks to media!
CNN and Bitcoin News published articles with misleading titles this morning, spreading FUD in crypto world once again.
French, German Finance Officials Call for Global Crackdown On Cryptocurrency published by CNN and France and Germany ‘Threatened’ by Cryptocurrency by Bitcoin News sound truly frightening, while the content is anything but bad.
The officials – Bruno Le Maire, France’s Minister of the Economy; Peter Altmaier, acting German Finance Minister; Francois Villeroy De Galhau, governor of the Bank of France; and Jens Weidmann, president of the Deutsche Bundesbank – are urging the G20 ministers to take action to prevent risks posed by the rapid growth of cryptocurrencies.
Four Challenges
The letter cited four challenges:
1) Understanding the nature of crypto tokens. The officials said such tokens are mislabeled as “currencies,” and that regulators hold disparate views about the nature of such tokens that result in a “lack of clarity for investors” that will cause speculation. They called for a clear distinction between the tokens and the underlying distributed ledger technology that promises “sustainable innovation” that Germany and France are pursuing.
2) Monitoring the rising exposures of market participants to tokens in terms of market integrity and financial stability. Such implications appear to be limited at present, but considering the expanding capitalization of tokens and the new financial instruments, such developments must be closely monitored to prevent risks to financial stability. While there are no implications in monetary policy, the use of such tokens as a means of exchange should be monitored in the field of monetary policy. The intention by some central banks to issue cryptocurrencies must also be extensively monitored.
3) Protecting non-professional investors. Better information is needed for investors who do not understand the risks they are exposing themselves to.
4) A common approach is needed for anti-money laundering and counterterrorism financing. Cryptocurrencies have the potential for those who can make the worst use of them. Germany and France have taken regulatory measures in the field of anti-money laundering and counter-terrorism financing, and the European Union is following suit. But a coordinated global effort is needed.
When you start reading the articles it immediately becomes clear, that the news is far from bad, but the damage thats is caused by this FUD is already done.
My advice to everyone is to read the whole article before you believe everything. Just because it's something you would like to believe doesn't make it true.