Hungary’s Central Bank Head Calls on EU to Ban Crypto Mining and Trading

The governor of the Hungarian National Bank said he agreed with the Russian central bank’s earlier proposal to ban crypto activities.

Feb 11, 2022 at 2:36 p.m. UTC
Updated Feb 11, 2022 at 5:14 p.m. UTC

Nelson Wang is CoinDesk's news editor for the East Coast. He holds BTC and ETH above CoinDesk's disclosure threshold of $1,000.

The chief of Hungary’s national bank said he supports banning crypto trading and mining in the European Union (EU) on the grounds that it could “service illegal activities and tend to build up financial pyramids.”

  • Following China’s move making all crypto activities illegal in September and Russia’s central bank recently proposing to do the same, György Matolcsy wrote in a statement that “I perfectly agree with the proposal and also support the senior EU financial regulator’s point that the EU should ban the mining method used to produce most new bitcoin.”
  • The Russian national bank recently switched its position to supporting the regulation of crypto rather than outright banning it.
  • “It is clear-cut that cryptocurrencies could service illegal activities and tend to build up financial pyramids,” Matolcsy wrote. “The EU should act together in order to preempt the building up of new financial pyramids and financial bubbles.”
  • Matolcsy proposed instead that EU citizens and companies would be allowed to own cryptocurrencies outside the EU and regulators would track their holdings.
  • Swedish regulators have been calling for a ban on crypto mining in the EU over concerns about the use of renewable energy.

UPDATE (Feb. 11, 17:14 UTC): Added info in last bullet point.


Read more about
The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Nelson Wang is CoinDesk's news editor for the East Coast. He holds BTC and ETH above CoinDesk's disclosure threshold of $1,000.

CoinDesk - Unknown

Nelson Wang is CoinDesk's news editor for the East Coast. He holds BTC and ETH above CoinDesk's disclosure threshold of $1,000.

Trending

1
CoinDesk - Unknown
Coinbase Has ‘Structural Advantage’ Over Competitors, Cowen Analyst Says

Stephen Glagola gave the crypto exchange an outperform rating and $85 price target.

Stephen Glagola gave the crypto exchange an outperform rating and $85 price target.

CoinDesk - Unknown
2
CoinDesk - Unknown
Tether Enters Latin America With Mexican Peso-Pegged Stablecoin

The country’s multibillion-dollar remittances business and difficulties in transferring money create a “unique opportunity," the company said.

The country’s multibillion-dollar remittances business and difficulties in transferring money create a “unique opportunity," the company said.

CoinDesk - Unknown
3
CoinDesk - Unknown
Fed Vice Chair Lael Brainard Says CBDC Could Coexist With Stablecoins

A well-designed central bank digital currency could complement stablecoins and cash, Brainard will say in front of the House Committee on Financial Services on Thursday.

A well-designed central bank digital currency could complement stablecoins and cash, Brainard will say in front of the House Committee on Financial Services on Thursday.

CoinDesk - Unknown
4
CoinDesk - Unknown
Ark 21Shares Backers Take Another Shot at Spot Bitcoin ETF Approval

The initial application for a spot bitcoin ETF was rejected in April.

The initial application for a spot bitcoin ETF was rejected in April.

CoinDesk - Unknown