Former Belgian Finance Minister and EU Lawmaker Calls for Crypto Ban

Former Belgian Finance Minister and EU Lawmaker Calls for Crypto Ban

The former finance minister of Belgium and European lawmaker, Johan Van Overtveldt, has called for a ban on crypto in the wake of the banking turmoil in the US. He believes that crypto assets have no economic or social value.

Banking Collapse Calls for Ban on Decentralized Digital Currencies

Member of the European Parliament, Johan Van Overtveldt, has insisted on banning cryptocurrencies like bitcoin by governments. His call comes in the wake of the crisis sparked by the failure of several banking institutions, including two crypto-friendly banks in the US.

"There is another lesson to be learned from the current banking commotion. Enforce a strict ban on cryptocurrencies," the lawmaker, who has previously praised blockchain technology, tweeted on Friday. "Speculative poison and no economic or social added value. If a government bans drugs, it should also ban cryptos," he argued.

Johan Van Overtveldt is a Belgian journalist and politician from the New Flemish Alliance (N-VA) party who served as the minister of finance of Belgium from 2014 and 2018 in the government of Prime Minister Charles Michel.

He was elected to the European Parliament in 2019, where he has been chairing the Committee on Budgets and represents the European Conservatives and Reformists (ECR) group in the Committee on Economic and Monetary Affairs (ECON).

ECR is a soft Eurosceptic, an anti-federalist political group in the legislature of the EU. Free enterprise, minimal regulation, and lower taxation, along with "small government as the ultimate catalyst for individual freedom and personal and national prosperity," are among its founding principles.

The Fallout of Failures Reach Europe

Overtveldt’s caution on cryptocurrencies follows the collapse of three US banks, two of which were involved in the crypto sector: Silvergate Bank and Silicon Valley Bank. The fallout of the failures has reached Europe, affecting Credit Suisse, a major investment bank on the Old Continent.

Europe is awaiting comprehensive regulation of its crypto economy by enforcing Markets in Crypto Assets (MiCA) legislation. EU institutions and member states agreed on the proposal last summer to introduce rules for crypto service providers across the 27-strong bloc.

What is your take on Johan Van Overtveldt’s call for a crypto ban? Please post your comments.