Cryptocurrency Clampdown by the Bank of England!

cryptofy (50)in #cryptocurrency • 6 years ago (edited)

Emerging reports state that the Bank of England is calling for a crackdown on cryptocurrency use in the UK after Mexico’s recent move in regulating the digital currency recently. Probably, motivated by his Mexican counterpart, Governor Mark Carney was heard discussing on the “bubble” impact in the digital coin markets!

As reported by RT, Carney stated that Cryptocurrencies operate as best money but for few people and limited extent notwithstanding in parallel with the conventional currencies. In that statement, Carney meant that the digital currency is failing!

Economically, the bubble happens when the cost of a product surpasses its intrinsic value. So, Carney is trying to say that the digital currency will soon become too pricey for only a few people to afford hence making them unnecessary! However, the question is why does the Bank of England starting to get anxious about Cryptocurrencies?

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Fascinatingly, Carney went ahead to discuss the dangers associated with owning digital assets and feared that cryptocurrencies might encourage the activities of terrorism, tax evasion, and money laundering!

While Carney did not openly discuss regulation measures, his tone seemed to propose that the Bank of England might be going the same way as Mexico where bills to regulate the digital currency markets have been passed successfully!

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It’s clear the reason the Bank of England is worried of the rise of cryptocurrency, is because the new technology will put them out of jobs, and they might be losing this vital commodity since they can’t control it anymore! Money is a control device, and if people begin making their own, then government loses control of this commodity, and that is something they are trying to avoid!

Above everything, the Bank of England and Carney are just another addition to the increasing catalog of crypto-sceptics! Their worry is much clear, and after regulatory victory in Mexico, the UK may not be far from following the suit!