The Governor of the Hungarian Central Bank, György Matolcsy, recommended that all cryptocurrency-focused activities include trading and mining. They are also emphasizing that cryptocurrency needs to be banned across the European Union.
In a release published on the Magyar Nemzeti Bank’s (MNB) website. Governor Matolcy said his new stance aligns with those of the Russian Central Bank and that of Erik Thedéen. Also, the Vice-Chair of the European Securities and Markets Authority (ESMA) said that Proof-of-Work (PoW) needs to be bann here.
He stated that “I perfectly agree with the proposal and also support the senior EU financial regulator’s point. He further added that the EU should ban the mining method used to produce most new bitcoin”. Governor Matolcy wrote, adding that he believes it is “clear-cut that cryptocurrencies. It may also service illegal activities and tend to build up financial pyramids.
Hungarian Central Bank was Right!
Hungarian Central Bank boss said the Russian central bank was right. Many have moved against their proliferation through stringent regulations. At the same time, the ESMA executive cited by Governor Matolcy does not want an outright ban on cryptocurrencies.
While the Hungarian Central Bank has its own jurisdictional powers, its influence on the entire E.U might not be so strong as those of the regional powers in the bloc. However, with two prominent leaders sharing similar thoughts on banning crypto mining, the recommendations may lead to a new consideration that could make the EU move against PoW mining amongst other regulatory crackdowns.
