Mario Draghi: Bitcoin regulations are not part of ECB attributions

The president of the financial institution has stated few days ago that Bitcoin are not part of European Central Bank regulations. However, he warned people about the risks associated to the volatility of the virtual coin. Bitcoin is very popular among the market assets because of its big fluctuations in price, dropping to $6,000 from almost $20,000 in just a month.

During a video discussion with the public, Draghi has answered some questions regarding this very disputed subject: digital coins. He said that the cryptocurrency subject and its regulations is not something that belongs to European Central Bank’s attributions. The most common asked question was that if ECB will ban digital coins trades or transaction, and the answer to that was that it is not their responsibility.

Bitcoin has been recently restricted in certain areas worldwide and it is commonly resembled to a Ponzi scheme that has no future or financial infrastructure.

This subject will be thoroughly discussed inside the G20 Summit in Buenos Aires in March.

Draghi added that the blockchain technology is still not secured enough to be used by central banks. It has been tested and analyzed to be used in the market infrastructure and it looks promising.