Portuguese Central Bank Governor Mário Centeno, speaking at the Banco de Portugal Financial Stability Conference, claimed that cryptocurrencies are unsustainable and called for global regulation. Centeno also emphasized that regulatory efforts in this regard should not be confined to a national framework.
“Cryptocurrencies entail undeniable long-term risks.”Central Bank Governor Mário Centeno
Mário Centeno also expressed that these risks could pose threats to financial stability and consumer protection.
“Cryptocurrencies saw a tremendous surge during the COVID-19 pandemic, but it became evident afterward that they were unsustainable and, unsurprisingly, resulted in the collapse of many products.”Central Bank Governor Mário Centeno
However, Centeno stressed that national regulatory efforts alone are never sufficient, and it is crucial to establish an international framework for proper supervision of cryptocurrencies.
Centeno also praised the European Union’s Crypto Asset Markets (MiCA) regulations, noting that these regulations provide a comprehensive framework aimed at better supervision and regulation of cryptocurrencies in Europe. Still, he believes that this framework requires further international consolidation.