ECB Executive Wants Crypto Users Protected Under Gambling Laws

Joshua Ramos
European Central Bank Raises Interest Rates by 75 Basis Points
Source: ESG News

In an official blog post, European Central Bank (ECB) executive Fabio Panetta shared his belief that cryptocurrency users should be protected under gambling laws. The statement came in a post discussing the necessity for regulation within the digital asset sector.

The year’s events have led many in governmental appointments to discuss how to protect digital asset holders. Moreover, Panetta has outlined why unregulated cryptocurrency coins should be perceived by authoritative entities in the same way they perceive gambling.

Source: Analytics Insight

ECB Pushing Gambling Protection for Crypto

There is undoubtedly a sea of shaken faith in the cryptocurrency industry. Following the harsh “crypto winter”, it was all but assured following the remarkable collapse of FTX. Specifically, the unraveled web of fraud and conspiracy that led to one of the biggest financial crimes ever committed through the exchange.

Now, as government and regulation approach the side effects of that collapse, new ways of regulating the digital asset class have emerged. Conversely, one ECB executive has shared their belief that cryptocurrency users should be protected under gambling laws.

Panetta outlined the need for regulation within the post. Assuring the readers that digital assets are not going away, and if not regulated, can be operated for nefarious means. Citing the past year’s events, Panneta painted a grim picture. Stating 2022, “marked the unraveling of the crypto market as investors moved from the fear of missing out to the fear of not getting out.”

Source: Bitcoin News

Moreover, Panetta called “unbacked” assets a “speculative investment,” due to their overwhelming volatility. Subsequently calling for regulative agencies to adopt gambling laws already implemented to protect cryptocurrency consumers.

Panetta remarked, “Vulnerable consumers should be protected through principles similar to those recommended by the European Commission for online gambling.” Adding, “They should be taxed in accordance with the cost they impose on society.”