Skip to content

European Parliament Member Advocates Crypto Ban Amid Banking Crisis

Former Belgian Finance Minister and European Parliament member Johan Van Overtveldt are advocating for a cryptocurrency ban in the ongoing banking crisis. He claims the digital asset industry offers "no economic or social value."

Johan Van Overtveldt, European Parliament Member
Johan Van Overtveldt, European Parliament Member

Context of Van Overtveldt's Statements

Van Overtveldt's comments were posted on Twitter as the banking sector faces renewed panic. Coindesk notes that his remarks coincided with the European Parliament's preparation for voting on significant regional crypto licensing regulations.

Banking Crisis Triggers Anti-Crypto Sentiment

The banking industry is experiencing turmoil following the collapse of Silicon Valley Bank and Signature Bank in the US, issues with Europe's Credit Suisse, and a historic rescue plan for First Republic Bank. In response, Johan Van Overtveldt has called for a ban on cryptocurrencies and shared his views on Twitter.

Van Overtveldt's Arguments Against Cryptocurrencies

Van Overtveldt stated that the current banking crisis should serve as a lesson for enforcing a strict cryptocurrency ban. He further argued that digital assets are purely speculative and hold no economic or social value. Drawing a comparison, he mentioned that if the government bans drugs, it should also ban cryptocurrencies.

Influence of Crypto-Friendly Bank Failures

The collapse of crypto-friendly banks like Silvergate and Silicon Valley Bank shaped Van Overtveldt's stance on cryptocurrencies. This narrative could have contributed to the downfall of Signature Bank, with board member Barney Frank stating that its closure sent "a strong anti-crypto message" from regulators.