Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

EU Report: Cryptocurrencies No Threat To Central Bank Currencies

Published 07/04/2018, 08:51 AM
Updated 07/04/2018, 08:51 AM

Investing.com - A new European Union report says cryptocurrencies will neither challenge nor replace traditional ones issued by central banks, but still serve a useful purpose. The report, which was prepared for the European Parliament's economic and monetary affairs committee, says cryptos will not achieve official status because of their high risk of fraud, price speculation and lack of stability.
The report compares digital currencies to private ones of the 18th and 19th centuries, which had no intrinsic value, and thus never caught on. Despite those shortcomings, cryptocurrencies have value because they offer relatively fast and secure cross-border transactions, with low fees and near anonymity, according to the report. For those reasons, the report says digital currencies should not be banned. Instead, it recommends that they be subject to clear, cohesive regulations that treat them as a taxable asset.

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.