Warning against Bitcoin

Yesterday, Thursday, several politicians issued an urgent warning about Bitcoin. Two left-wing MPs warned that the Bitcoin hype is feeding the illusion that you can get rich completely without work. But this is only granted to the wealthy or fraudsters. Warning tones came also from the boss of the Japanese central bank, Haruhiko Kuroda likewise from CDU European delegate Elmar Brok, who fears that the people could lose thereby their small houses.

Haruhiko Kuroda sees the Bitcoin revolution as an object of speculation

The two deputies Fabio De Masi and Sahra Wagenknecht felt compelled yesterday to warn the Handelsblatt against new forms of investment. According to the two politicians of the left-wing faction, sharp price drops at Bitcoin would also pose a threat to the stability of the entire financial market. They criticize in particular the permission of the US financial supervisory authority to be allowed to bet for some days on the price of the Bitcoin by means of issued futures. The Bitcoin revolution does provide for more security, but for the opposite, they believe. Nevertheless, there are good reasons not to leave the monetary system solely to the banks’ control. The Bitcoin is nothing more than another financial bubble that will burst sooner or later. This could lead to a “rapid decline in the value of shares, bonds or even real estate” in the Bitcoin revolution area. De Masi and Wagenknecht do not see crypto currencies as an alternative to central monetary systems. On the contrary: “They serve the total privatisation of money, which repeatedly leads to crises,” the two politicians believe.

Haruhiko Kuroda, the head of the Japanese central bank, also blew the same horn yesterday. For him, the BTC is an “object of speculation”. The current price seems “abnormally high” to him. Because the Bitcoin does not behave like a normal means of payment, many experts would deny it the status of a currency.

When Lieschen Müller gambles up her house with Bitcoin loophole crypto currencies

The conservative European politician Elmar Brok worries about the savings of citizens who could lose them with new investments and the Bitcoin loophole. Currently there are many people with a small fortune who are hoping for quick money. In the event of failure, politicians would be insulted because they had not prevented the Leue from “losing their houses” in the process, Brok said. On the other hand, it would not be acceptable for “the greedy to be compensated by the state”, which is why he publicly pleads for clear conditions and transparency rules. Warnings would have to be so clear that even “Lieschen Müller” knows that it will go away empty-handed if its speculation backfire. In addition, the Merkel confidant misses a real value in the Bitcoin loophole. When in the 17th century at the end of the tulip mania, the world’s first well documented speculation bubble, the price fell into the bottomless, people would at least still have had their (albeit worthless) tulips. In the case of the Bitcoin, you would have nothing more in your hand as a countervalue.

What Brok stands for strongly sounds like the bold warning notice that has to be printed on every cigarette packet throughout the EU. Time will tell which measures the European politicians will come up with to protect their citizens from trading in crypto currencies. It remains to be hoped that investors will then be warned against all other speculative transactions in the same way as against trading in BTC & Co. But equal treatment of the EU for all speculative transactions is probably too much to ask again, right?