What is a brief summary of the ECB's report on virtual currency?

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On 29th Oct 2012, the European Central Bank released this report on virtual currency.

What is a summary of its comments on Bitcoin?

Highly Irregular

Posted 2012-10-31T00:34:39.470

Reputation: 10 692

Answers

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In the ECB's view, (Bitcoin) can be used by business (criminals), customers (fraudsters) and savers (money launderers) to perform legal (illegal) activities, but lets ignore it until volume reaches a level where comparison with sovereign currencies reflects negatively on our reputation. The public will then expect us to regulate such digital (rogue) systems (schemes).

Compound Interest

Posted 2012-10-31T00:34:39.470

Reputation: 71

Best answer in this stack exchange! – Mosh – 2012-11-04T18:45:47.393

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The ECB is a monopolistic institution: it holds a monopoly over the issuing of money on Europe. As a byproduct, any possible competitor is going to A) Be detained and its activity stopped B) Be criminalized or C) Be condemned. Since technology makes impossible to Government to take over Bitcoin, you can expect (C) for a long, long time.

If Bitcoin gets popular in the near future, because of the utter destruction of fiat currency governments are doing, you can even expect to be criminalized or highly taxed for being a bitcoin user.

Free and competitive money/currency is the nightmare of regulators (looters)

flaab

Posted 2012-10-31T00:34:39.470

Reputation: 834